The founder and CEO of Trina Health, a chain of diabetes treatment clinics based in Sacramento, Calif., pleaded guilty Jan. 4 to one count of conspiring to bribe an Alabama legislator, according to the Department of Justice.
Four things to know:
1. Trina Health opened three clinics in Alabama in 2014 and 2015. Before the third clinic opened, Blue Cross Blue Shield informed Trina officials it would not cover the artificial pancreas treatments provided at the clinics.
2. G. Ford Gilbert, PhD, the company's founder and CEO, developed a scheme to push a bill through the Alabama Legislature in 2016 that would have forced BCBS to cover the treatments.
3. He paid Micky Ray Hammon, who was the majority leader of the Alabama House of Representatives at that time and formerly part owner of one of the clinics, $2,000 to use his influence to quietly generate support for the bill, according to the Justice Department. The bill did not advance out of committee.
4. Dr. Gilbert's sentencing will be scheduled in the coming months. He faces a maximum of five years in prison, a fine of up to $250,000, and up to three years of supervised release.
More articles on legal and regulatory issues:
New Jersey health system demands $20M in suit over failed merger
Billing feud between CHS and Quorum ends with arbitration ruling
5 latest healthcare industry lawsuits