On January 15, 2025, the former CEO of Little River Healthcare, a rural Texas hospital, was sentenced to three years in federal prison and must pay $5.3 million for violating the Anti-Kickback Statute. The hospital partnered with a diagnostics company to bill insurers at higher rates for blood tests while using marketers to facilitate kickbacks to referring physicians. Other co-conspirators were also convicted for managing referrals and money laundering via shell corporations.
Texas Hospital CEO Sentenced to 3 Years in Federal Prison in Kickback Conspiracy
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