Ex-CEO allegedly bilked $1M from troubled Florida hospital

The current administration of Blountstown, Fla.-based Calhoun Liberty Hospital is accusing former CEO Phillip Hill of defrauding the hospital of more than $1 million over a six-year period, according to the Tallahassee Democrat.

Mr. Hill resigned as Calhoun Liberty's CEO and administrator six months ago due to "management differences." About a month after he resigned, the new administration of the hospital found bookkeeping irregularities.

Mr. Hill allegedly created between 50 and 100 fake invoices for payments to Southeastern Medical Supply. The hospital never received any supplies from the company, and there is no documentation the company exists, according to hospital officials. Mr. Hill allegedly sent checks for the supplies to a lock box he created to receive payments for Calhoun Liberty.

The fake invoices were discovered by Lisa Dees, Calhoun Liberty's compliance officer. The invoices caught her attention because of the suspicious amount of certain items that were ordered. Calhoun Liberty CFO Nathan Ebersole also discovered there were materials that had been invoiced and paid for but never received at the hospital, according to the report.

The Florida Department of Law Enforcement is investigating the case.

Mr. Hill's lawyer, Rusty Shepherd, told the Tallahassee Democrat that Calhoun Liberty officials are bringing up the investigation to divert attention away from other problems at the hospital.

Last December, a 57-year-old woman died after being forcibly removed by police from Calhoun Liberty. In February, the Agency for Health Care Administration uncovered 10 deficiencies at the hospital, including issues with its emergency services and risk management program.

More articles on healthcare fraud:

CMS to increase on-site visits to deter healthcare fraud
US rakes in $2.4B in healthcare fraud recoveries
Pennsylvania physician pleads guilty to healthcare fraud

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