Universal Health faces wider federal investigation

Universal Health Services (UHS) has revealed that an ongoing federal investigation of one of the company's properties has expanded. The hospital operator said that federal officials are now looking into the details of physician contracting relationships within its South Texas Health System. The investigation seemingly focuses on whether South Texas made illegal payments to physicians and others. Earlier this year, South Texas was served with a criminal subpoena by federal officials, who were investigating potential False Claims Act violations. 

The news of UHS's possibly growing legal troubles comes after a successful quarter for the company, whose third-quarter revenue increase 13.1 percent, to $1.18 billion, over the same period last year. Admissions climbed more than 3 percent during the quarter at both its acute-care and psychiatric facilities. Universal, of King of Prussia, PA, operates or owns 23 acute-care hospitals and 111 psychiatric facilities.

To learn more about the investigation:
- read this Modern Healthcare article