Dive Brief:
- Although Sacred Heart Hospital closed in 2013, a fifth doctor, Dr. Venkateswara Kuchipudi, was recently convicted of Medicare and Medicaid fraud.
- The physician, dubbed "the king of nursing homes" would direct patients to nursing homes when there were better hospitals closer to where patients lived, according to the Chicago Business Journal.
- In addition, patients with certain mental health issues were admitted to the hospital without prior evaluations from ED doctors, leading to more expensive Medicare costs.
Dive Insight:
The hospital's former CEO Edward Novak and CFO Roy Payaw, were previously convicted, as reported by Healthcare Dive. Dr. Kuchipudi was convicted on one count of conspiring to defraud the government and on nine counts of illegally receiving benefits from referring patients covered by Medicare and Medicaid.
Each count has a maximum sentence of five years in prison and a $250,000 fine.