Feds settle Jackson health-care lawsuit for $4M

JACKSON, Mich. (AP) -- The federal government says a Jackson hospital will pay nearly half of a $4 million settlement in a lawsuit over unnecessary medical procedures.

The lawsuit alleged that Dr. Jashu Patel and other cardiologists at Jackson Cardiology Associates performed procedures that weren't justified.

The government says most patients had no significant heart blockages. Patel and Jackson Cardiology are settling for $2.2 million. Allegiance Health was part of the lawsuit because many procedures were performed at the hospital.

In a statement Wednesday, Allegiance denied any wrongdoing. It says it reached the deal so it could devote resources to health care instead of litigation.

The lawsuit was filed by a cardiologist, Dr. Julie Kovach. She'll get part of the settlement.

The government got involved because Medicaid or Medicaid paid for the procedures.

Published: Mon, Jul 15, 2013