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Jury awards former Michigan inmate $307.6M in prison health care suit

A federal civil jury on April 2 awarded a $307.6 million verdict to a Detroit man who alleges he suffered in prison for more than two years because the state's former prison health care contractor would not pay to reverse his colostomy. Former Michigan inmate Kohchise Jackson alleged in a lawsuit filed in 2019 that he had to serve his entire prison sentence with a stinky and leaky plastic bag attached to his side because the state's former prison health care contractor, Corizon Health, did not want to pay for surgery to reverse his colostomy, as a cost-cutting measure. A jury deliberated just a little over two hours in federal court in Detroit April 2 before returning the verdict. It awarded $300 million in punitive damages against defendant CHS TX, Inc., the company that purchased Corizon Health after its 2023 bankruptcy, and $100,000 in punitive damages against Dr. Keith Papendick, who was Corizon's "director of utilization management" while Jackson was in prison from 2017 to 2019. The jury also awarded $7.5 million in compensatory damages against CHS TX. "I think that this jury recognized the basic human rights and the constitutional rights of everybody," Detroit attorney Jonathan Marko, who represented Jackson, said after the verdict. "This is a warning shot across the bow to for-profit health care companies" that get their money from taxpayers, through the prison and jail system, Marko said. During the trial, a New York City man who was a top official with Corizon, Isaac Lefkowitz, refused to answer questions when he was called to the witness stand, citing his Fifth Amendment rights against self-incrimination, court records show. "This is a criminal enterprise," Marko told jurors during his closing argument. Lefkowitz "was scared of being criminally prosecuted in this courthouse." Adam Masin, a New York attorney representing defendants CHS TX and Papendick, told jurors during his closing that Lefkowitz's appearance in the case was just one of a series of distractions in a trial he called "a circus" and "a spectacle." Lefkowitz had nothing to do with Jackson's lawsuit because he did not become a Corizon official until 2021, long after Jackson was released from prison and the same year the MDOC's five-year, $716 million contract with Corizon ended, Masin argued. Lefkowitz is also not currently a director of CHS TX and has no current role with the defendant company, Masin told jurors. The trial also heard testimony from former Corizon employees, not all of whom worked in Michigan prisons, who testified for Jackson and the defendants. Masin, who declined to comment when reached by telephone after the verdict, described much of the plaintiff's case as "random, unproven stories ... intended to distract you." He said Jackson's lawyers "relied too much on self-serving prison gossip." The Michigan Department of Corrections was not a defendant in the case. Jackson, 44, of Detroit, who alleged deliberate indifference to his serious health needs, was paroled in May 2019 after serving two years and two months in prisons near Jackson and St. Louis. He developed a hole in his colon in 2016, before he was sent to prison. It happened while he was in the St. Clair County Jail in Port Huron, awaiting trial on charges that included assault with a dangerous weapon. Doctors outside prison treated Jackson with a colostomy, which diverted his colon and the human waste it carried to a plastic bag, through a hole in his side. Jackson alleges he was supposed to have surgery to reverse the colostomy in February 2017. Instead, Corizon left him with it. He alleges the bag frequently leaked, sending waste onto himself and his bunk; smelled bad; and he sometimes had to clean out the bag and reuse it when prison replacements were not available, making his prison stay traumatic and dangerous. "Nobody wanted to be my bunkie, for sure," Jackson told the Detroit Free Press in a 2019 interview. "I didn't get along well with others, because of the bag and the smell," which resulted in "a couple of altercations," he said. Marko said the case was about justice not just for Jackson but for tens of thousands of prisoners who have received inadequate health care while in prison from contractors seeking to maximize their profits. He asked the jury to award Jackson $75 million in compensatory damages and $650 million in punitive damages. "You have the power to stop them," Marko said of prison health care providers who have harmed prisoners, in urging jurors to return a large verdict. "Claw back that taxpayer money." Masin argued that at least 1 million Americans live with colostomy bags and there is no medical consensus on how quickly a colostomy should be reversed. Performing the surgery would have come with medical risks, Masin told jurors. What's clear, he said, was that there was no pressing medical need for the reversal surgery, which Jackson had done after he was released from prison and suffered no ill effects. It was also false that Corizon would save money by denying Jackson the reversal surgery, Masin said. If approved while Jackson was in prison, the surgery would have been paid for by Medicaid, he said. "What if this man had a life sentence?" asked Ann Arbor attorney Ian Cross, who also represents Jackson. "Is it fine for him just to wear a bag for the rest of his life?" This article originally appeared on Detroit Free Press: “Jury awards former Michigan inmate $307.6M in prison health care suit” USA TODAY Network via Reuters Connect

RI hospital ‘warehoused’ mentally ill patients. Now, a lawsuit is moving forward.

Summary: Gainwell Technologies accused of submitting $500 million false Medicaid claims U.S. District Judge Leo Sorokin allows second amended complaint Whistleblowers include former chief medical officer Brian Daley Long-standing claims that the Eleanor Slater Hospital defrauded Medicaid out of nearly a half-billion dollars by having its fiscal agent, Gainwell Technologies, submit "fraudulent" claims are back on the federal court docket. And now, the federal government has weighed in with an opinion on the law that lets the case go forward. What's behind the lawsuit? Allegations by two former top doctors at the state-run hospital and the former chief financial officer that Gainwell had a central role in a decades-long fraud at the state-run hospital involving bilking Medicaid for up to $100 million a year, while "improperly warehousing, undertreating, and overmedicating ... primarily mentally disabled patients." The suit alleges almost $500 million in "false" claims between 2016 and 2021 alone. Gainwell remains the state's fiscal agent for Medicaid and has denied any wrongdoing or legal responsibility. The company is also responsible for navigating the state's current financial reporting dilemma related to Medicaid payments. The lawsuit is aimed at the state's fiscal agent, instead of the state of Rhode Island and the state agency known as the Department of Behavioral Healthcare, Developmental Disabilities and Hospitals (BHDDH) that runs the state hospital, because of legal barriers to filing this kind of whistleblower case against a state, including sovereign immunity. Kerri White, a spokeswoman for the umbrella agency known as the Executive Office of Health and Human Services that oversees BHDDH, said: "The State is not a party in the Gainwell case and has no comment." Why the case is moving forward U.S. District Judge Leo Sorokin initially dismissed the complaint but recently opened the door to fresh arguments by the whistleblowers who brought the complaint. Sorokin then asked the federal government to weigh in on whether a third party, such as Gainwell, could be held liable "for knowingly causing the submission" of false Medicaid claims. U.S. Attorney for Massachusetts Leah Foley answered, advising Sorokin that a fiscal agent can be liable for the submission of a false claim to Medicaid if it failed to stop the payment, or "recklessly" or "deliberately ignored" evidence that a claim violated Medicaid rules. The prosecutor’s filing came just days after President Donald Trump signed an executive order forming a task force, led by Vice President JD Vance and including the Department of Justice, to crack down on state-level fraud in benefit programs, including Medicaid, according to Bloomberg Law, which was the first to report the federal government's entry into the case. What is the lawsuit about? The case, initially filed under seal in June 2022, centers on allegations that Gainwell and unnamed administrators of the hospital, which operates on two campuses in Cranston and Burrillville, "schemed" between 2016 to 2021 to overcharge the Medicaid program in multiple ways. The suit alleges billings for nursing home-level services at a hospital that was not licensed as a nursing home, and at levels that did not reflect the actual cost of the services. Meanwhile, it said, the hospital manipulated patient counts to minimize the number of mentally ill patients. Brian Daley, the hospital's former chief medical officer, Assistant Chief Medical Officer Andrew Stone and former Chief Financial Officer Jennifer White allege that the hospital submitted numerous fraudulent bills to Medicaid, “to the tune of hundreds of millions of federal and state health care dollars,” which Gainwell then approved. "On average," the suit says, Eleanor Slater billed Medicaid almost $550,000 per patient, per year, which is almost four times the state average. And the average stay for each patent was more than nine years. Beyond the financial games, the whistleblowers said that the hospital's patients suffered. "In this rules-free zone, patients were grievously harmed. Psychiatric and developmentally disabled patients were warehoused in ESH, a physically deteriorating state hospital ... for years or decades." Lawsuit: Patients restrained all day, every day and subjected to abuse The suit specifically references Daley meeting a patient in 2018 who had been there since 1958, having been hospitalized for 60 years. "There simply is no medical or psychiatric illness that would require anyone to be in a hospital for 60years, especially a licensed acute-care hospital which ESH was supposed to be," the suit says. "That patient, however, was just the tip of the iceberg." The suit details patients locked in rooms, subjected to physical and sexual harm, and held in physical restraints, such as TAT belts, a kind of wrist-to-wrist restraint that acts like the shackles or handcuffs used in prisons. Patients were held in these conditions, with restraint, "all day, every day, for years, including sleeping hours." "Some were subjected to physical and sexual abuse by dangerous criminals who were transferred to ESH from prison simply because the state had nowhere else to put them," the lawsuit says. Some of the allegations were reported by various news outlets, including The Providence Journal, during then-Gov. Gina Raimondo's administration. How did we get here? Sorokin dismissed the lawsuit in 2025. But he agreed in December to allow the plaintiffs to file a second amended complaint. In his order, he noted that the whistleblowers had not produced a "communication between the state and Gainwell that would support an inference that Gainwell was in on the state’s scheme against the federal government." However, the facts in the new complaint "plausibly allege" that Gainwell acted with "at least, reckless disregard" when it came to the hospital's fraudulent Medicaid billing practices. Sorokin said that the facts presented suggest that even a "simple review" of the hospital's operations would have caused concern for Gainwell, particularly its nursing home designation. "Taken together, these facts suggest that Gainwell acted beyond mere mistake or negligence," Sorokin wrote. This article originally appeared on The Providence Journal: RI hospital 'warehoused' mentally ill patients. Now, a lawsuit is moving forward. Reporting by Katherine Gregg, Providence Journal / The Providence Journal USA TODAY Network via Reuters Connect

In historic visit, Trump to attend Supreme Court arguments

Summary: Trump attends Supreme Court arguments on immigration policy Supreme Court ruled against Trump on global tariffs Trump appointed three conservative justices including Barrett President Donald Trump was set to make a historic visit to the U.S. Supreme Court on Wednesday, attending arguments over the legality of a policy he considers crucial to his hardline approach toward immigration - a directive he signed on his first day back in office that would limit birthright citizenship. Outside the neoclassical courthouse on Capitol Hill, demonstrators gathered ahead of the arguments, some holding anti-Trump signs including ones reading "Trump must go now." The court has backed Trump in a series of rulings issued on an emergency basis since he returned to the presidency last year. Those decisions came on matters including immigration, mass federal layoffs, cutting foreign aid, dismantling the Education Department, banning transgender people from the military and other areas. But the court on February 20 ruled against Trump in a major case testing the legality of the sweeping global tariffs he imposed last year under a law meant for use in national emergencies. Since the tariffs ruling, Trump has lashed out repeatedly at the Supreme Court and the six justices who ruled against him in that case. The court said it is not aware of a president attending arguments in modern times, meaning since its current building opened in 1935. There are examples of 19th century presidents arguing cases before the court - though not while in office - including John Quincy Adams, Grover Cleveland and Benjamin Harrison. The Supreme Court's 6-3 conservative majority includes three justices appointed by Trump during his first term in office - Neil Gorsuch in 2017, Brett Kavanaugh in 2018 and Amy Coney Barrett in 2020. Barrett's appointment gave the court its current conservative super-majority and ushered in an epoch in which the court has moved American law dramatically to the right including rulings rolling back abortion rights, rejecting race-conscious collegiate admissions policies, limiting the power of U.S. regulatory agencies and more. Trump and senior officials in his administration often have denounced judges who have issued rulings against his policies, sometimes in highly personal terms. Three of the court's six conservative justices - Chief Justice John Roberts as well as Gorsuch and Barrett - joined with the court's three liberal members in ruling that Trump had overstepped his authority in imposing tariffs. Trump was incensed at Gorsuch and Barrett in particular, calling them on the day of that ruling "an embarrassment to their families." And last week, Trump kept up his condemnation of his two appointees, saying that "they sicken me because they're bad for our country." Trump after the tariffs ruling said he was "ashamed" of the three conservative justices who ruled against him, calling them "fools and lapdogs for the RINOs and the radical-left Democrats." RINO, meaning "Republican in name only," is a term sometimes used by conservative Republicans to insult fellow Republicans viewed as disloyal to the party. Trump after the ruling also claimed that the court "has been swayed by foreign interests," but declined to provide any evidence. A lower court blocked Trump's executive order directing U.S. agencies not to recognize the citizenship of children born in the United States if neither parent is an American citizen or legal permanent resident, also called a "green card" holder. Trump's administration has said that granting citizenship to virtually anyone born on U.S. soil has created incentives for illegal immigration and led to "birth tourism," by which foreigners travel to the United States to give birth and secure citizenship for their children. Trump wrote on social media last year: "Birthright Citizenship was not meant for people taking vacations to become permanent Citizens of the United States of America, and bringing their families with them, all the time laughing at the 'SUCKERS' that we are!" Trump added: "But the drug cartels love it! We are, for the sake of being politically correct, a STUPID Country but, in actuality, this is the exact opposite of being politically correct, and it is yet another point that leads to the dysfunction of America." (Reporting by Andrew Chung, John Kruzel, Jan Wolfe and Blake Brittain; Editing by Will Dunham)