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Allegations have been proven false that Prime Healthcare patients were acquiring serious blood infections, such as septicemia, and/or that its hospitals were "upcoding” by improperly assigning a diagnosis of septicemia. In late November and early December 2010, the Healthcare Facilities Accreditation Program (HFAP) and The Joint Commission conducted unannounced surveys at 10 PHS hospitals to investigate the allegations.

All of these surveys included a detailed review of randomly selected medical charts by highly qualified surveys (physicians and nurses) to determine whether the clinical indicators of septicemia were present. They found no evidence of serious infection control problems or Medicare fraud.

In addition to surveys by HFAP and The Joint Commission, several PHS’ hospitals have undergone Patient Safety Licensing Surveys by the California Department of Public Health within the last two months and no material deficiencies were noted in any of these surveys.

Dr. Prem Reddy, PHS’ founder and chairman, said these results "reaffirmed PHS’s commitment to providing excellent patient care and vindicated the doctors, nurses and other hospital staff members who work hard each day to provide the best possible care to the system’s thousands of patients in medical need.”