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Could supervisor’s votes be conflicts?

Posted on 31 March 2014 by admin (0)
Jebb Harris, Orange County Register

Jebb Harris, Orange County Register

Orange County Register

It was a cozy affair – a gathering of high-powered Orange County hospital leaders paying tribute to county Supervisor Janet Nguyen.

About 15 executives huddled with Nguyen on Feb. 28, 2012, in the Lemon Heights home of Dan Brothman, CEO of Western Medical Center Santa Ana and senior vice president of operations for Integrated Healthcare Holdings Inc. They noshed on meatballs in Brothman’s family room and inked $5,000 worth of checks for Nguyen’s summer re-election.

Brothman would later describe the fundraiser as a “meet and greet” with Nguyen.

Two days later, Nguyen voted as a trustee for Orange County’s health network for the poor – Cal-Optima – to pay $750,000 to IHHI-owned hospitals to settle a lawsuit over unpaid bills. A unanimous vote March 1, 2012, by five members of CalOptima’s board of directors was held in closed session and has still not been disclosed by CalOptima.

The 2009 breach-of-contract lawsuit by IHHI alleged CalOptima failed to pay Integrated Healthcare hospitals for $2 million worth of services to Medi-Cal patients covered by CalOptima. Court records show it is one of a number of similar suits filed by hospitals against the agency.

The Orange County Register confirmed the vote and the settlement through court documents and interviews with officials involved in the case.

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