Dimensions president resigns after internal investigation of kickbacks

Dimensions Healthcare System's president and chief administrative officer, who was under an internal investigation for alleged kickbacks, officially resigned on Monday after 18 months on the job, The Washington Post reported.

Kenneth Glover in December took an indefinite leave of absence while the hospital system looked into his dealings with former Prince George's County, Md., Executive Jack Johnson, who was convicted after a federal investigation for corruption. Johnson, who pleaded guilty to extortion and witness- and evidence-tampering, this month started his seven-year prison sentence.

It was during those court filings that documents revealed Dimensions's connections to Johnson. Stephen H. Sachs, a former Maryland attorney general and former U.S. attorney for the state, led a two-month internal investigation. The probe found that Glover discussed giving lucrative contracts to the now-convicted felon in exchange for his job in 2010, the Washington Business Journal reported.

Dimensions, however, is not the subject of a federal investigation, Sachs said.

"The Ken Glover situation is resolved, and that was the major concern," Dimensions board chairman C. Philip Nichols Jr. said in the Washington Post article. "The board determined that this action was in the best interests of the corporation ... Our job at this point must be to move forward."

Glover, who has been on paid leave since Dec. 4, according to the Business Journal, will receive a severance of about $36,000, which amounts to one month's salary, according to The Washington Post.

Executive Vice President Neil Moore has served as acting CEO since the Glover investigation began.

For more information:
- read the Washington Post article and blog post
- read the Washington Business Journal article

Related Articles:

Dimensions Healthcare CEO steps down, implicated in extortion scheme
Hospital exec arrested in $116M Medicare scheme
Home health owners plead guilty to $1M Medicare fraud
14 providers arrested in alleged referral kickback scheme

Suggested Articles

The profit margins and management of Community Health Group raise questions about oversight of managed care insurers.

Financial experts are warning practices about the pitfalls of promoting medical credit cards to their patients.

A proposed rule issued by HHS on Tuesday would expand short-term coverage, a move Seema Verma said will have "virtually no impact" on ACA premiums.