Wouldn't it be better for everyone involved if the family or the parent got consuling? It's very hard to assume the state not going overboard on power trips if medical decisions don't involve the parents.
In the case of Munchausen by proxy, I do not believe it is safe for the children to be left in the parent’s custody.
The disorder is very hard to diagnose.
Legally, parents engaged in Munchausen by proxy are prosecuted as they would be for committing other types of child abuse.
If that were the case... how come the daughter is doing worse in the hospital than she was previously? According to the article she has lost weight and her hair and can no longer sit up without assistance.