Karl Tague, former president and chief executive officer of 512-bed Manatee Memorial Hospital in Bradenton, Fla., has agreed to plead guilty to federal charges of conspiracy and money laundering.
Tague also agreed to testify against at least five other individuals charged with participating in the kickback scheme in which Tague recommended approval of inflated construction contracts (Oct. 9, p. 14; Oct. 16, p. 25).
More than $800,000 in kickbacks were paid out to Tague and three other former hospital workers for construction work at Manatee Memorial beginning in 1993.
In his agreement with prosecutors, Tague pleaded guilty to one count of conspiracy and one count of money laundering.
Federal prosecutors agreed to dismiss other counts after Tague is sentenced early next year. To date, three of the six individuals charged in the case have agreed to plead guilty.