Representative Bob Filner (D-Calif.) has asked federal officials to investigate Ontario, Calif.-based Prime Healthcare Services for possible “systematic fraud,” according to a report from the investigative news outlet California Watch.
Rep. Filner sent a letter to the Office of Inspector General for the U.S. Department of Health and Human Services, saying Prime may be involved in “systematic fraud against Medicare and managed care patients,” according to the document. Rep. Filner also said he has a Prime hospital in his district and is “gravely concerned” that his constituents cannot trust the providers.
He also sent a letter to Internal Revenue Services, calling attention to questionable financial transactions where Prime owner Prem Reddy, MD, may have “attempted to avoid a substantial tax bill through questionable handling of a donation,” according to the document. He requested the IRS investigate the issue as well as the non-profit organizations involved in the donation.
Both of the representative’s requests mention prior California Watch reports about Prime’s Medicare billing and patient admission practices, as well as Dr. Reddy’s involvement in charities with which he is a stakeholder.
Related Articles on Prime Healthcare:
Prime Healthcare Requested Expedited Approval for Sale of Christ Hospital
Prime Healthcare’s Septicemia Billing Data Referred to Medi-Cal Auditors
California Dept. of Public Health Finds No Septecimia-Related Errors by Prime Healthcare
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