(CBS) — Governor Quinn is promising tighter controls after a review found that the Illinois Medicaid program paid an estimated $12 million for medical services for people who were dead.

Quinn was clearly displeased.

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“I wasn’t happy to see that. As a matter of fact, we have to put in even tighter controls, but we are going to recoup every single dollar,” said Quinn.

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The state auditor found the problem by comparing Medicaid rolls with state death records dating back to 1970. The overpayments involved 2,900 people.

Quinn said in most cases, managed-care insurance companies billed the state improperly.

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Legislative Republicans want the state to re-hire a private firm, Maximum Health Services, to verify Medicaid eligibility, but Quinn insists state employees can do the job.