Fallout from a federal investigation of two physicians at 188-bed Redding (Calif.) Medical Center is costing about 150 hospital employees their jobs, said the hospital, owned by Tenet Healthcare Corp., Santa Barbara, Calif. Federal agents raided Redding in October 2002. Amid widespread media coverage, patient volume has declined 20% to 30% since the start of the investigation, the hospital said. Temporary cost-reduction strategies, including involuntary vacations and staff reassignments, weren't enough in the face of the continued lower volume, it said. The government is investigating whether the two physicians, Chae Hyun Moon and Fidel Realyvasquez Jr., performed unnecessary procedures and then falsely billed government programs. Investigators have not identified Tenet or the hospital as a target of the probe. Investor-owned Tenet owns and operates 114 hospitals. -- by Vince Galloro
Tenet hospital says federal probe led to layoffs
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