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FBI: Hospital CEO arrested in health care scheme by Associated Press Options
Vana_Roth
Posted: Thursday, August 07, 2008 2:45:53 AM

Rank: Administration
Groups: Administration

Joined: 5/13/2008
Posts: 25
Location: Michigan
Copied article by By SHAYA TAYEFE MOHAJER, Associated Press Writer

FBI: Hospital CEO arrested in health care scheme

LOS ANGELES - A hospital CEO was arrested Wednesday in what authorities said was a scheme to recruit homeless people as phony patients and bill government programs for millions of dollars in unnecessary health services.

Federal agents raided three medical centers and the city of Los Angeles sued the hospitals, saying they used homeless people as "human pawns."

More charges are expected, a federal prosecutor said.

Hospitals in Los Angeles and Orange counties submitted phony Medicare and Medi-Cal bills for hundreds, perhaps thousands, of homeless patients — including drug addicts and the mentally ill — recruited from downtown's Skid Row, state and federal authorities allege.

While treating minor problems that did not require hospitalization, such as dehydration, exhaustion or yeast infections, the hospitals allegedly kept homeless patients in beds for as long as three days and charged the government for the stays.

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And we wonder why Medicare's reducing benefits and charging more for services to those legitimately enrolled and in need.

There's too much corruption and greed bleeding the system dry.

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