The federal government on Monday accused a Tennessee health system of unlawfully paying a Memphis-area private oncology practice for patient referrals, letting the system “recoup a staggering discount in costs” through the 340B program. The 340B health system—Methodist Le Bonheur Healthcare in Memphis—disputed the allegations and has vowed to vigorously defend itself against what it says are meritless claims.
In an April 11 complaint filed in federal district court in Nashville, the U.S. Justice Department (DOJ) said Methodist’s allegedly illegal multi-year business deal with the West Clinic resulted in $50 million in profit to Methodist through the 340B program in 2017 alone.
The federal government on Monday accused a Tennessee health system of unlawfully paying a Memphis-area private oncology practice for patient referrals, letting the system “recoup a staggering discount in costs” through the 340B program.
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