A House oversight committee is asking for a federal investigation of the largest U.S. hospital chain and its admissions practices amid allegations of widespread fraud. HCA owns more than 180 hospitals and is the largest for-profit health care chain in the U.S. In 2021, the chain turned a profit of almost $7 billion.
Rep. Bill Pascrell (D-N.J.), chair of the House Ways and Means oversight subcommittee, this week asked the HHS to look into HCA Healthcare’s emergency department admissions, Axios reports.
Pascrell also sent a letter to the company, asking whether doctors received incentives for patient admissions and how physician performance was measured.
Several large unions last year alleged that HCA was admitting patients who didn’t necessarily need emergency care. There are also allegations the company has “corporate admission targets” and has threatened retaliation against staff who don’t meet them.
The company’s facilities have also faced understaffing allegations, as well as press reports of preventable patient deaths, including one in Denver, and one hospital’s potential termination from the Medicare program.
In the letters, Pascrell also points out how HCA had established a joint venture with a private equity-backed emergency care services firm, which provides emergency physician staffing in “virtually all” of HCA’s hospitals.
The inquiry into admissions practices could extend to other health systems, part of the government’s increased focus on private equity investments in health care.
HCA spokesperson Harlow Sumerford, said in a statement that the company was reviewing Pascrell’s letter and will respond to his requests for information.
Sumerford added the company had previously faced the same complaints and requests for information from the labor union group and filed their response publicly with the SEC. Read more.
