The government has intervened in eight False Claims Act lawsuits against Health Management Associates Inc. (HMA), which operates 71 hospitals in 15 states, claiming that HMA paid kickbacks and billed federal health care programs for unnecessary hospital admissions. The government also intervened in allegations that HMA’s former CEO, Gary Newsome, directed HMA’s corporate officers to pressure physicians and hospital administrators to raise inpatient admission rates, regardless of medical necessity.

The lawsuits allege that HMA’s corporate officers caused doctors to submit inflated or false claims to federal health care programs by pressuring them to unnecessarily admit patients. It is also alleged that HMA engaged in several kickback schemes, paying physicians in emergency rooms to induce unnecessary hospital admissions, or paying physician groups for referrals.

Among the whistleblowers who originally brought these allegations to light are Ralph D. Williams, a former chief financial officer at Walton County’s hospital, and Michael Cowling, a former HMA division vice-president and CEO at three HMA hospitals.

Read the entire press release, “Government Intervenes in Lawsuits Against Health Management Associates Inc. Hospital Chain Alleging Unnecessary Inpatient Admissions and Payment of Kickbacks”