Jackson-Madison County General Hospital Settles “Whistleblower” Lawsuit


Jackson - The Jackson-Madison County General Hospital District and the U.S. Department of Justice have reached a settlement to resolve a 2007 lawsuit.  The JMCGH Board of Trustees approved a resolution during its regular meeting in March to adopt and approve a settlement agreement that has been approved by the U.S. Department of Justice (DOJ).

The lawsuit asserted claims against JMCGH and others on behalf of the United States for claims submitted to Medicare and TennCare resulting from the services of Elie Korban, M.D. (“Korban”), a physician who treated patients in JMCGH’s cath lab from 2004 to 2011.  The allegations were included in a lawsuit, “United States of America ex rel. Deming vs. Jackson-Madison County General Hospital, et al., filed against JMCGH and others by Wood M. Deming, M.D., a local cardiologist under the qui tam or “whistleblower” provisions of the False Claims Act.   The DOJ elected not to take legal action against JMCGH following the investigation.

Under terms of the settlement agreement, Jackson-Madison County General Hospital (JMCGH) will pay $1,328,465 to the DOJ.  As part of the settlement, JMCGH will also pay the plaintiff’s reasonable attorney’s fees, estimated to be approximately $205,000.