Latino Group Calls
on
Embattled Hospital
Giant Faces Harsh Criticism about Medicaid DSH Funds and Mistreatment of
Uninsured
EAST LOS ANGELES, Calif.,
Nov 1, 2002 /PRNewswire via COMTEX/ -- After a
federal raid at a Tenet Healthcare hospital (THC)
in California, K.B. Forbes, Executive Director of Consejo
de Latinos Unidos, a national non-profit organization
that aids and assists Hispanics, sent a letter this morning requesting that
U.S. Attorney John K. Vincent expand his investigation into Tenet Healthcare's
billing practices.
"We are requesting
that you expand your probe into Tenet Healthcare's billing practices. Tenet
appears to be using the uninsured to game the system. The name of Tenet's game
is Medicaid DSH (Disproportionate Share Reimbursement program)," writes
Forbes. "The U.S. Department of Justice has been very successful in
investigating Medicare fraud. We now ask that you turn your attention to Tenet
and the Medicaid DSH program. Our advocacy group is gravely concerned about how
deplorable Tenet Healthcare has mistreated the uninsured. The reason seems to
us to be a grab for federal dollars."
In his letter, Forbes
alleges that uninsured people who went to a Tenet hospital appear to have been overcharged
and then forced not to pay. Recalling events from last year, Forbes writes,
"It appears no payment plans were offered and an 'all-or-nothing'
collection approach was used. Obviously, these people could not pay the lump
sum. We were stumped by Tenet's alleged behavior. Why would a hospital refuse
to accept payment plans? What was the motive to collect nothing instead of
something? We then learned about the lucrative Medicaid DSH program for
hospitals."
After reviewing the
Medicaid DSH formulas, Forbes writes, "we concluded that bad debts were
needed to retain the federal DSH funds ... In California, Tenet has been
aggressive in demonstrating bad debt. In a one-year period, Tenet obtained over
400 collection judgments totaling over $1.6 million." He adds, "We
were surprised to hear that the State of
The Consejo
letter concludes, "Since you and your office have uncovered some serious
allegations of fraud against Medicare patients, is it not wise to expand your
investigation to include Medicaid billing practices and take a look at what is
being done to the uninsured population? We think so."
The Consejo
has objected to Tenet's treatment of the uninsured. Since June, Tenet's attempt
to purchase a five-hospital chain in
SOURCE Consejo de Latinos Unidos
Brad Hoffman of the Consejo de Latinos Unidos, +1-626-644-2273