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Sacred Heart Hospital Shutters Months After Federal Raid, Reports Say

By DNAinfo Staff on July 1, 2013 6:25pm

 The Illinois Department of Public Health dispatched staff to Sacred Heart Hospital, 3240 W. Franklin Blvd., after learning that it was shuttered Monday, the  Tribune  reported.
The Illinois Department of Public Health dispatched staff to Sacred Heart Hospital, 3240 W. Franklin Blvd., after learning that it was shuttered Monday, the Tribune reported.
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CHICAGO — A Humboldt Park hospital that was the subject of a federal probe has abruptly closed for business, according to reports.

The Illinois Department of Public Health dispatched staff to Sacred Heart Hospital, 3240 W. Franklin Blvd., after learning that it was shuttered Monday, the Tribune reported.

In April, four doctors and two executives were arrested following a raid of the hospital over what authorities called an extensive Medicare and Medicaid kickback scheme.

About $2 million worth of Medicare reimbursement payments were seized in the raid.

Executives of Alvarez & Marsal, the restructuring firm enlisted to run the hospital, gathered Sacred Heart's employees Monday morning to announce the closure, Crain's reported. A handful of the patients would be transferred to other hospitals, attendees told Crain's.

The decision came after Medicare decided to suspend payments to the hospital, the hospital's attorney told Crain's.