Sumter, S.C.-based Tuomey Healthcare System announced the resignations of President and CEO Jay Cox and Executive Vice President and COO Gregg Martin, according to a report by The Item.
Mr. Cox and Mr. Martin and the hospital's board of trustees have mutually agreed to negotiate a separation agreement, according to the report.
The healthcare system was involved in one of the largest cases involving physician employment and compensation earlier this year. In May, a 10-person jury ruled that, from 2005 through 2006, Tuomey submitted $39 million worth of illegal bills to Medicare through kickbacks to 19 specialists, thereby violating Stark Law.
The hospital is potentially facing federal fines and penalties that total more than $237 million, according to the report.
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