Unsealed court filings offer details of DOJ investigation into Prospect Medical
HealthCare Dive
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Contributed by: Drex DeFord
Summary
Court documents reveal that federal and state investigations are underway into Prospect Medical Holdings, a 16-hospital system accused of defrauding the government and failing to protect personal information prior to a ransomware attack last year. The investigations, which involve the U.S. Department of Justice, Connecticut Attorney General, and Connecticut Commissioner of Consumer Protection, are part of a larger legal conflict with Yale New Haven Health over a $435 million hospital sale. The DOJ has issued Civil Investigative Demands linked to potential violations of the False Claims Act, while Connecticut officials are focused on cybersecurity lapses and potentially deceptive hospital funding practices. Prospect denies all allegations.
