Ex-Florida hospital CEO subject of $1M fraud scheme investigation

The former CEO of Calhoun Liberty Hospital in Blountstown, Fla., is being investigated in connection with a $1 million fraud scheme that spanned six years, according to a Tallahassee Democrat report.

The hospital's ex-CEO, Philip Hill, allegedly created between 50 and 100 fake invoices for payments made to a medical supplies company. Hospital officials told the Tallahassee Democrat there is no documentation that the company exists, and the checks were being sent to a lock box that Mr. Hill created to receive payments from the hospital.

Mr. Hill stepped down from the position in August, and Ruth Attaway took over as Calhoun Liberty Hospital's CEO.

"While reviewing the financial records of both the hospital and the ambulance service on Sept. 30, we found significant inconsistencies and troubling evidence that led us to believe there was an elaborate criminal scheme to defraud the hospital of a large sum of money," said Ms. Attaway, according to the report.

The fake invoices ranged in amounts up to $20,000, and the total potential loss from the scheme exceeds $1 million.

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