Community Health Systems’ stock fell Monday after the hospital system received a subpoena in connection with an investigation of possible improper claims submitted to Medicare and Medicaid, according to a Bloomberg Businessweek report.
The subpoena was sent from the Department of Human and Health Services and received by CHS April 8. It requests documents from all of the company’s hospitals and concerns emergency department processes and procedures. It also requests information regarding CHS’ relationships and financial arrangements with ED physicians.
CHS said it is cooperating fully with the subpoena and is unable to forecast the outcome of the probe, according to the report.
Yesterday, CHS stock lost $1.80, or 5.6 percent, to $30.10 in afternoon trading.
Read the Bloomberg Business report on Community Health Systems’ subpoena.
Read more about CHS:
– CHS Still Wants Tenet: Revised All-Cash Offer Stands at $6 Per Stock
– CHS, Tenet Stocks Back on the Rise
– Tenet Sues CHS: New Battle Lines in Healthcare Takeovers — Whistleblowing
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