S.C. Hospital Faces $44.8M in Damages for Stark Violation

A federal jury ruled that Tuomey Healthcare System acted in violation of the Stark Law and may order the Sumter, S.C. hospital to pay as much as $44.8 million in damages.

The lawsuit, brought forth by whistleblower Michael Drakeford, MD, alleged that Tuomey hired staff surgeons to perform procedures at its ambulatory surgery center (ASC) and paid them based on volume of referrals in an attempt to stem competition from physician-owned ASCs in the area.