SAN DIEGO: Tri-City Medical Inquiry Ends Without Indictment
A San Diego County grand jury has declined to indict the administration of Tri-City Medical Center, after a doctor's "complaint of irregularities in the bidding process for hospital contracts" spurred an investigation. The San Diego Union-Tribune reports that the inquiry centered on relations between Tri-City and a subsidiary physicians group. The Tri-City Independent Physicians Association was half-owned by the medical center, and its $1 million sale in August 1997 to MedPartners was never "properly recorded, nor had there been an outside audit of the association's financial records." According to Tri-City President and CEO John Lauri, "an independent audit is planned," as recommended by the grand jury and a "county watchdog group." But Lauri will not be around to see the results, as he has recently announced his resignation. The Union- Tribune reports that "contentious relationships among [hospital] board members and with management" may have led him to his decision. He has been nominated to fill the CEO position at Valley Health Care Management Services (Gembrowski, 6/11).This is part of the California Healthline Daily Edition, a summary of health policy coverage from major news organizations. Sign up for an email subscription.