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Steward Medical Group, a sister organization of the Central Massachusetts Independent Physician Association through Steward Health Care, said it plans to sue a South Shore affiliate for deceptive medical practices, according to a statement from Steward spokesman Jeff Hall on Wednesday.
The Boston-based physician group of Steward Health Care, Steward Medical alleged Compass, a healthcare provider with several South Shore locations, engaged in a “protracted and methodical plan of deceptive financial practices with the objective of enriching itself at the expense of patients and Steward Medical Group.”
Steward claimed, in addition to the millions of subsidies provided by Steward to Compass, Compass CEO Jamie Barber and other company officials received more than $3.5 million for unpaid services for which they knew they were not entitled.
Steward said plans to sue follow three years of unsuccessful arbitration with Compass on the matter. Further details on the pending lawsuit weren’t available by deadline Wednesday.
The allegations come days after Compass filed suit against Steward in Suffolk Superior Court in Boston. Compass accused Steward of breach of contract in its failure to pay Compass for its services, as a management services organization for Steward Medical Group.
“Steward Health Care’s response to our lawsuit reflects an alternate reality that bears no resemblance to any actual event, and we categorically reject all of it. We look forward to justice being served through our legal system and will save our response to Steward’s baseless allegations for that venue,” Compass CEO Jamie Barber said in a statement on Wednesday.
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Worcester Business Journal presents a special commemorative edition celebrating the 300th anniversary of the city of Worcester. This landmark publication covers the city and region’s rich history of growth and innovation.
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