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Hospital pays out in scam involving work done on homeless

Catholic Online, August 27, 2012

Los Angeles Doctor's Hospital, Inc., has entered a guilty plea to conspiring to defraud Medicare and Medi-Cal through the payment of illegal kickbacks to "marketers" who recruited people to act as patients. In agreements filed last week in U.S. District Court, LADH and PCH admitted that from 2003 to 2008 they and the three PCH hospitals paid more than $2.3 million to the marketers that recruited people to act as patients. The homeless people were then treated—even if they did not need treatment. Some of the recruits were found in "Skid Row" in downtown Los Angeles.