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Violation Tracker Individual Record

Company: McAllen Hospitals L.P., d/b/a/ South Texas Health System
Current Parent Company: Universal Health Services Inc.
Penalty: $27,500,000
Year: 2009
Date: October 30, 2009
Offense Group: government-contracting-related offenses
Primary Offense: False Claims Act and related
Secondary Offense: kickbacks and bribery
Mega-Scandal: Healthcare Kickbacks
Violation Description: A hospital group based in McAllen, Texas, agreed to pay the United States $27.5 million to settle claims that it violated the False Claims Act, the Anti-Kickback Statute and the Stark Statute between 1999 and 2006 by paying illegal compensation to doctors in order to induce them to refer patients to hospitals within the group.
Level of Government: federal
Action Type: agency action
Agency: Justice Department Civil Division
Civil or Criminal Case: civil
Facility State: Texas
HQ Country of Current Parent: USA
HQ State of Current Parent: Pennsylvania
Ownership Structure of Current Parent: publicly traded
Major Industry of Current Parent: healthcare services
Specific Industry of Current Parent: hospitals (for-profit)
Source of Data: (click here)
Source Notes: If an online information source is not working, check the Violation Tracker Data Sources page for an updated link.
Current parent company note: Parent-subsidiary relationship is current as of the most recent revision listed in the Update Log.