In trouble again: Houston Riverside General Hospital accused of misusing $32 million FEMA grant
HOUSTON -- According to a new federal audit, the gross mismanagement at Riverside General Hospital did not end with the 2012 indictment, arrest and removal of its longtime CEO Earnest Gibson III in a massive Medicare billing fraud scheme.
FEMA announced Wednesday that the agency wants to recover the entire $32 million grant, disbursed and promised, awarded to the Houston institution – which currently has no operations – after an analysis determined that money earmarked for Hurricane Ike repairs was misused.
The audit also blames the state of Texas for lax oversight of federal grants.
The 27-page report from the Department of Homeland Security's Office of Inspector General concluded that the scandal continued after Gibson III, his son and other co-conspirators were indicted in a $160 million Medicare fraud scheme. A dozen people faced criminal charges in a tumultuous episode that crippled the historic institution and saddened supporters.
Read more: http://www.chron.com/news/article/Report-accuses-Riverside-of-misusing-32-million-6540143.php
Earlier thread:
Houston Riverside Hospital CEO Convicted of Medicare/Medicaid Fraud that Siphoned $158 Million
