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U.S. sues hospital chains
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October 6, 1998: 2:04 a.m. ET
Justice Dep't joins whistleblower suit against Columbia/HCA, Quorum
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WASHINGTON (CNN) -- The Justice Department announced Monday it has joined a whistleblower's civil lawsuit against two major hospital chains, Columbia/HCA Healthcare Corporation and Quorum Health Group for defrauding the government Medicare program.
The suit, unsealed in a Florida court, claims Columbia and Quorum submitted false claims in order to defraud the government. Columbia's billing practices were already under investigation in a criminal probe.
The civil lawsuit, filed originally by a whistleblower in a Montana hospital, seeks triple the damages which the government has suffered, but doesn't specify the amount.
Quorum manages more than 200 hospitals nationwide. Columbia/HCA, which used to own Quorum, operates more than 300 hospitals across the U.S.
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