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Madison (LA) hospital faces financial crisis

Modesto Bee / Associated Press, March 31, 2014

Madison Parish Hospital could face a financial emergency if the Centers for Medicare and Medicaid Services require reimbursement of $2.5 million in overpayment ties to fraudulent billing by the hospital's former administrator. Hospital CEO Scott Barrilleaux and Hospital Service District chairman Thomas Williams made the disclosure this past week to a state fiscal review committee overseeing the district's corrective action plan after years of fraud and misuse of public funds. The committee includes the legislative auditor, state treasurer and attorney general. Michael Cragin, senior adviser for the Louisiana legislative auditor, told The News-Star that the possible reimbursement demand is the biggest challenge facing the hospital.