Saturday, April 30, 2011
Staff report
CtW Investment Group, investor in Community Health Systems, urged shareholders of Community Health Systems on Friday to vote against the re-election of three board members, the most notable being CFO W. Larry Cash.
CtW said CHS failed to “timely and decisively respond” to ongoing investigations into its billing practices.
Dallas-based Tenet Healthcare Corporation alleges that CHS, which presented an unsolicited offer to take over Tenet in April, improperly billed Medicare by admitting patients who should be treated in observation.
CtW said by improperly admitting patients, it isn’t providing honest information to its shareholders.
CHS filed a 109-page presentation with the Securities and Exchange Commission on Friday refuting Tenet’s claim and will vote on re-elections at its May 17 meeting.
CHS purchased bankrupt Forum Health’s assets in Mahoning and Trumbull counties last year.