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California quashes sale of Anaheim Memorial Medical Center to Pacific Health

Los Angeles Times, August 15, 2008

California officials have nixed Anaheim Memorial Medical Center's $57-million purchase by Pacific Health Corp., which faces allegations that it defrauded Medicare and Medi-Cal. This was the third time that an agreement to sell Anaheim Memorial has unraveled. The Attorney General's office cited several factors in the decision, including "pending criminal investigations" and a civil complaint filed by Los Angeles City Atty. Rocky Delgadillo accusing three hospitals of recruiting homeless people for costly and unjustified treatment.