Former CHOP GC Charged With Fraud, Money Laundering

According to the information filed by the U.S. Attorney's Office for the Eastern District of Pennsylvania, Hairston used his senior positions at CHOP to embezzle $1.7 million from the hospital between 1999 and 2011. The information alleges Hairston created eight "shell companies," including Educational Strategies and The Children's Research Alliance, for the purposes of stealing the money through false invoices he created for those companies. Eric W. Sitarchuk of Morgan Lewis & Bockius represented CHOP and declined to comment on the filing of the information. Hairston's attorney, Howard Bruce Klein, wasn’t immediately available for comment. Hairston was terminated from CHOP in February, with the hospital saying only that he was let go due to "financial irregularities." He had become the GC in April 2010, previously serving as senior vice president for community and government relations and deputy general counsel for the organization. According to the information, between December 1999 and December 2003, Hairston was responsible for coordinating the defense of medical malpractice claims against CHOP. He allegedly created fraudulent invoices, claiming that expert medical witnesses had supplied services to CHOP when those witnesses either didn’t exist or didn’t provide those services, prosecutors outlined in the information. "Defendant Roosevelt Hairston Jr. went to great lengths to conceal his fraud and launder the proceeds of the scheme by creating numerous shell companies, opening bank accounts in the shell companies' names, establishing phony offices for the shell companies and creating fraudulent e-mail addresses for some of the shell companies," prosecutors said in the information. In relation to the coordination of the medical malpractice defense between 1999 and 2003, Hairston allegedly created 33 fraudulent invoices related to expert witnesses, collecting $225,000 from CHOP. The embezzlement scheme, according to the information, was suspended when Hairston was no longer able to approve invoices for expert witnesses on his own and needed approval from another CHOP official.

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Former CHOP GC Charged With Fraud, Money Laundering
Former CHOP GC Charged With Fraud, Money Laundering

According to the information, between December 1999 and December 2003, Hairston was responsible for coordinating the defense of medical malpractice claims against CHOP. He allegedly created fraudulent invoices, claiming that expert medical witnesses



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Will give the desired counsel to proceed with the case. In many instances, people who have suffered under negligent doctors may feel bound by approval forms they may have signed. A legal representative is able to clarify that an approval form signed is not a license for medical practitioners to be careless. In other words, there is a case to answer even when there is such a form. It is imperative when discussing a case with an attorney that you provide as much information as possible including medical reports. Damages awarded involve pain and suffering, loss of expenditure, and compensatory and punitive damages.

Medical malpractice is defined as a treatment by a health care professional or doctor that results in economic or physical damages to a patient. If your doctor's care violated normal medical practices and you have been injured, you should seek help from medical malpractice legal representative.


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