New Mexico sued Alta Vista Regional Medical Center in Las Vegas, N.M., and its owner Quorum Health Resources, alleging the hospital engaged in false advertising and overcharging patients.
The lawsuit alleges Alta Vista advertised services it couldn't perform or was only able to perform in a "substandard manner," according to a Dec. 8 press release from the office of the Attorney General of New Mexico Hector Balderas.
Alta Vista's entire medical executive committee resigned in November 2021, according to the Santa Fe New Mexican, and the state alleged Alta Vista didn't adhere to proper procedures for refilling the positions and failed to provide appropriate oversight for its medical operations. The state's health department also found trash and dirt in the hospital during an inspection and reported blood on the walls of the emergency room.
The lawsuit also alleges Alta Vista charged "exorbitant amounts'' for services and sued patients who couldn't pay. Quorum Health was aware of the issues at Alta Vista, according to the lawsuit, but failed to correct them. The complaint stated the hospital "routinely charged $1,200 for a service where copay should have been $400," reported the Santa Fe New Mexican.
The state aims to prevent Alta Vista from advertising for services it doesn't provide and halt certain "unconscionable billing practices," according to the press release.
Jessica Kendrick, marketing consultant for Alta Vista, told the Santa Fe New Mexican the hospital had a survey in October showing the hospital was in "substantial compliance." She also said nearly all patients at the hospital are covered by insurers with established rates and the hospital has programs with significant discounts for uninsured patients.