Former Tuomey executive agrees to pay $1 million settlement

WASHINGTON – The Department of Justice announced today that it has reached a $1 million settlement with Ralph J. Cox III, the former chief executive officer of Tuomey Healthcare System, for his involvement in the hospital’s illegal Medicare and Medicaid billings for services referred by physicians with whom the hospital had improper financial relationships.

Tuomey Healthcare System has since been sold to Palmetto Health.

Under the terms of the settlement agreement, Cox will also be excluded for four years from participating in federal health care programs, including providing management or administrative services paid for by federal health care programs. The illegal physician arrangements resulted in a $237.4 million judgment against Tuomey following a jury verdict. On Oct.16, 2015, the United States resolved its judgment against Tuomey for payments totaling $72.4 million.
Look in Wednesday's edition of The Sumter Item for more details.