Whistle-blower to receive $4.5M in Lexington Medical Center lawsuit payout

The whistleblower that revealed Columbia, S.C.-based Lexington Medical Center violated federal law by over-compensating some of its physicians will receive roughly $4.5 million as part of the settlement, according to JD Supra.

Advertisement

David Hammett, MD, filed a lawsuit against LMC in 2014 alleging some of the medical center’s asset purchase agreements and employment agreements with some physicians violated Stark Law, according to the report.

In July, the federal government announced a settlement agreement with LMC resolving the lawsuit. The agreement said LMC would pay the government $17 million, which Dr. Hammett will receive a portion of, according to the report.

The agreement also states that LMC denied the allegations and any wrongdoing, but entered into an agreement to avoid further litigation, according to the report.

More articles on legal and regulatory issues:
Erlanger demands $8.7M in suit over $20M hospital loan
2 Mississippi hospitals filed suit over 2014 Medicaid underpayments
Indiana VA system sends test results to wrong patients

Advertisement

Next Up in Legal & Regulatory Issues

  • CMS established a new physician nutrition specialist specialty code, effective beginning Oct. 1. The code helps physician nutrition specialists —…

  • Two Minnesota health systems announced plans to combine into a 22-hospital system, and UPMC finalized a deal that moves it…

  • York (Maine) Hospital officially joined Portland-based MaineHealth Oct. 1, according to a post on the hospital’s Facebook page.  The hospital…

Advertisement

Comments are closed.