Brentwood, Tenn.-based Comprehensive Pain Specialists is closing more than 25 clinics, according to the Tennessean.
Although CPS has not publicly stated why or when the clinic closures are occurring, Tennessean reporters visited or called each of the company's 40 clinics July 3. A clinic in Murfreesboro, Tenn., had a sign on the door that read "permanently closed." Fifteen other clinics confirmed they are closing in July, and another 11 clinics' voicemail messages said they were closed. Employees at the remaining 13 clinics either did not answer the phone, said the clinic was being transferred to another company or declined to comment, according to the report.
The clinic closures come about three months after federal prosecutors charged Comprehensive Pain Specialists CEO John Davis in a $4.6 million kickback scheme. The indictment alleges from June 2011 until June 2017, the CEO of a durable medical equipment company paid Mr. Davis illegal kickbacks in exchange for Medicare referrals for durable medical equipment ordered by CPS.
More articles on healthcare finance:
104-bed Alabama hospital closes
Shares of CHS continue to slide
CMS delays due dates for BPCI Advanced