Well the plot gets thicker and as I mentioned a couple days ago the algorithms and auditing information here will tell the story as I don’t think a judge would turn this lose just yet as HHS issued their subpoena for Community.

The reasoning is interesting in saying that the filing for dropping the suit is due in part to their attempted take over of Tenet, pretty gutsy and a show of how corporate America is operating today and is kind of a bad showing for hospitals.  It’s the software that will tell the story more than doubting the decisions of the physicians and that part I think Tenet knows as they have their own software used and partly owned in house for some of their revenue cycling and admissions.  

Community Health Converts Bid to $3.3 Billion Bid in Cash-Warming Up For Some of the Most Complicated Algorithmic Auditing Lawsuits in History With Healthcare

I just don’t see this going away and everyone deciding they don’t want to know what’s occurring with potential either fraud or billing auditing.  It’s not going away anywhere else.  If Tenet has a anyone talking then they could have some additional information as a whistleblower as people do move around in the hospital business.  I do wonder about that as it seems almost like it’s necessary to create a substantiated lawsuit, but who knows. 

Community Health Systems Receives Subpoena–Bring in Your Algorithms Used By Pro-MED 3rd Party Software for the ER

The Texas attorney general’s office filed a similar request in November.  Both hospital chains have paid healthy fines in the past. 

Tenet Files Suit Accusing Community Health Of Inflating Hospital Admissions

The biggest thing here too that is an issue is why does this have to be hostile and Community playing such hard ball to even suggesting board members?  It’s always better to talk on a two way street.  Right now just because of actions seen in the news my opinion as far as Community is concerned with the aggressive antics has dropped a few notches and if I were HHS watching this too, I think I would be more curious than ever to perform the Medicare audit as soon as possible.  BD   

Tenet Tells Community Health Thanks But No Thanks in Response to Their Submission of 10 Nominees for Tenet’s Board of Directors

Community Health Systems Inc. (CYH), accused in a lawsuit by Tenet Healthcare Corp. of overcharging Medicare, moved to dismiss what it called a “baseless” legal action.

Community Health, which has an unsolicited buyout offer for Tenet, said in court papers that the claims must be dismissed in part because Community Health modified its acquisition proposal to an all-cash offer. Community Health filed its motion today in federal court in Dallas.

Tenet, a Dallas-based operator of hospitals, sued Community Health on April 11, charging that it would have difficulty raising money for a buyout because its methods for admitting patients to hospitals under Medicare could subject it to “liability and damages of well over $1 billion.”

“This changes nothing,” Rick Black, a spokesman for Tenet, said in a telephone interview. “We intend to vigorously prosecute our claims.”

Community Health Seeks Dismissal of ‘Baseless’ Tenet Healthcare Suit - Bloomberg


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