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Report of FBI investigation unconfirmed

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FOUNTAIN SPRINGS - The FBI may be investigating Saint Catherine Medical Center Fountain Springs, but a broadcast report to that effect could not be confirmed.

According to the report, the investigation involves federal funding through Medicare and Medicaid received by the hospital for services.

Special Agent J.J. Klaver, media coordinator for the FBI's Philadelphia Division, said no information on an investigation has been released by his office, but said official announcements are not made until charges are filed.

"We don't ever confirm or deny that there is an ongoing criminal investigation," said Klaver.

Klaver said it's possible that someone who had been interviewed as part of an investigation could have given a tip that they were questioned.

"Sometimes, the word gets out that the 'Feds' are investigating and people assume it is the FBI," he said. "It would be in our jurisdiction, but there could be another federal agency investigating."

Louis D. Truskowsky, of Mahanoy City, served on the hospital board of directors and said he had not been contacted about any federal investigation.

'Serious deficiencies'

Problems at the hospital came to light in March when the Pennsylvania Department of Health ordered that the facility could not admit new patients on March 23 due to "serious deficiencies and violations of applicable regulations that it felt posed a significant threat to the health and safety of the patients at the facility."

Within the following week, the hospital could no longer accept emergency-room patients or conduct laboratory work. Shortly thereafter, all patients were transfered to other medical facilities.

It was later learned that the hospital operations had debts of $5.8 million. The hospital filed for Chapter 11 bankruptcy, which would allow the hospital to reorganize, but after review of records, bankruptcy trustee William G. Schwab recommended the bankruptcy filing to be changed to Chapter 7, which involves closing the hospital and liquidating assets to pay a portion of the debt. The closing affected about 150 employees, who lost their jobs and are waiting for up to six weeks of pay they did not receive.


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