From reading this the hospital sounds like they are out of part of the penalty box, or sort of as the full ruling is not in yet. DOJ seeks more than $237 million from the hospital in their guilty verdict. From what I am reading here with the resignations and the information the actions are all pointed at the CEO and the Board to include their legal counsel.
The CEO had been there since 1990 and will leave at the end of October. 19 doctors were given exclusive contracts in exchange for referrals to the hospital. This could also be settled out of court according to the US Attorney General handling the case. This sound like someone blew a whistle here maybe that was outside the 19 well paying exclusive contracts, maybe? BD
SUMTER, SC — In a dramatic move viewed as possibly clearing the way for a settlement in the federal lawsuit facing the local hospital, Tuomey Healthcare System’s CEO Jay Cox, Vice President Gregg Martin and Nexsen Pruet — the law firm representing Tuomey — all announced their departures from the hospital Thursday morning.
Both Cox and Martin officially announced they were leaving the hospital during a staff meeting Thursday morning. Shortly after the meeting started, hospital officials released a statement saying Tuomey’s board of directors and its top two officials “have mutually agreed to negotiate a separation agreement.”
U.S. District Judge Margaret Seymour, the judge that oversaw the four-week retrial of the case stemming from complaints in 2005, is still weighing several motions from both Tuomey and federal district attorneys before issuing a ruling. This includes the initial motion after the guilty verdict in which the U.S. Department of Justice seeks more than $237.4 million in damages from Tuomey.
More recently, an opinion from the South Carolina Attorney General’s office says the board members and officers of Tuomey Healthcare System cannot be protected by the hospital from possible fines and penalties should these people be found liable in a future lawsuit.