Lawsuit Filed Claiming Fraudulent Billing
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A lawsuit filed in 2007 finally went to court this week, full of claims against Jackson- Madison County General Hospital along with the Regional Hospital of Jackson. Dr. Wood Deming, formally held cardiology privileges at both hospitals, but a 28-page-document explained that, “the lawsuit arises from the unlawful scheme and conspiracy to defraud the United States of America and the federal tax payer programs. ” Dr. Deming alleges in the complaint that former CEO of Jackson-Madison County General Hospital, James Moss and former CEO of Regional Hospital of Jackson, Timothy Puthoff allowed Dr. Elie Korban to bill Medicaid and Medicare for tests that were not needed. The suit also claims Korban would fraudulently dictate medical records in order to reflect the symptoms leading up to the tests he ordered. The Federal Government said it plans to intervene in the lawsuits against Doctor Korban for false and fraudulent billing for cardiac stent procedures, also explaining it expects the U.S. Attorney to file a complaint by July 19. The Government declined to become a part of the case against the remaining defendants in the civil suit. In the meantime, Deming said he suffered retaliation from both hospitals for speaking up against Korban on numerous occasions. He claimed he was harassed, threatened and discriminated against to revoke his privileges. ABC 7 Eyewitness News made several calls to attorney Ralph Bard who is representing Deming in the case, but our calls were not returned. Dr. Korban was at work on Tuesday, but declined to comment. However, both hospitals did release statements. Regional spokesperson, Lisa Ragsdale released a statement in part saying, “Regional Hospital is pleased that the United States chose not to intervene in the portion of the Realtor’s lawsuit, which named the hospital, and a former administrator. The hospital remains committed to providing high-quality, appropriate health services for patients and the community.” Kay Cranford, the spokesperson for West Tennessee Healthcare said, Jackson-Madison County General Hospital is fully cooperating with the government investigators and because this is an ongoing investigation, we have no further comment. ” `
