Federal government responds to Methodist Le Bonheur Healthcare amid ongoing legal battle
MEMPHIS, Tenn. (WMC) - The federal government is firing back against claims by Methodist Le Bonheur Healthcare amid an ongoing legal battle.
The government says it does have justification to intervene in the case against Methodist Le Bonheur.
The lawsuit filed in 2017 claims Methodist executives ran a Medicare and Medicaid scheme resulting in $800 million in fraudulent payments.
Methodist responded to the update, saying in part, “The government has presented no new evidence that expands the allegations of the original suit or justifies its attempt to intervene in the case now, two years after it declined to enter the litigation.”
Read the full statement below.
“The government has presented no new evidence that expands the allegations of the original suit or justifies its attempt to intervene in the case now, two years after it declined to enter the litigation. As we have said before, the lawsuit seeks to portray customary and legal business arrangements as illegal activities and amounts to after-the-fact second-guessing of payments to West Clinic that respected outside experts determined reflected fair market value for the services MLH received.
The affiliation, similar to arrangements between medical specialty groups and providers around the country, was successful and did what it was intended to do: create an integrated cancer diagnosis, treatment and surgical service that improved cancer care and led to better patient outcomes for the Memphis community.
The allegations are without merit, and we will continue to vigorously defend against them.”
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