By EMS1 Staff
HOUSTON — A settlement was reached with a hospital company after claims that four of the company’s hospitals told EMS agencies to swap cheap rides in exchange for lucrative opportunities.
Houston Chronicle reported that the Hospital Corporation of America agreed to an $8.6 million settlement after civil allegations were made that the hospitals made deals with multiple EMS agencies to give them cheap trips for inpatient transports to other facilities. In return, they got lucrative referrals, such as when a patient would be transported home.
Spokesperson Debra Burbridge said the claims were only allegations and there was no determination of liability.
“These hospitals have had and continue to have robust compliance programs,” she said.
Acting U.S. Attorney Abe Martinez said the way the case was handled is fairly new, and that in previous cases the EMS agencies were scrutinized rather than the hospitals.
“The way this case was pursued does set a precedent, but it also sends a pretty clear message that both sides of the relationship will be held responsible,” Dallas Health and Human Services Officer of Inspector General special agent C.J. Porter said.
Prosecutors said that although whistleblowers reported the ambulance-swapping scheme was used to increase profit, it’s unclear whether or not officials knew they were breaking the law.
“Once they were engaged and came forward, they cooperated,” attorney Glenn Grossenbacher said. “That doesn’t happen very often.”