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HRD-79-120 1 (1979-09-25)

handle is hein.gao/gaobaazsq0001 and id is 1 raw text is: UUNITED STATES GENERAL ACCOUNTING OFFICE - WASHINGTON, D.C. 20548 UMAN Rsou czS RESTRICTED - Not to be released outside the General DIVISION AccOOutig Office exccpt on tc basis of specific approval by the Office ot Congessiona Relations. SEPTEMBER 25, 1979 RELEASED The Honorable William L. Clay House of Representatives Dear Mr. Clay: Subject: Ifnappropriate Handling of Patients' Personal Funds By the City of St. Louis Health and Eospital Division/ (HRD-79-120) This report_g opds to your December 4, 1978, letter by which you equested that we look into the alleged im- proper use of Federal funds by the City of St. Louis, Health and Hospital Division. We did not find that.Fed- eluns were improperly used. However, we did find that the personal funds of Medicaid patients at the -,7: Truman Restoration Center (a city nursing home) were misused, improperly accounted for, and inadequately con- trolled. Also, the City Hospital Division overcharged for Medicare and Medicaid services because certain revenues were not used to offset expenses. These discrepancies were noted during our examination into the allegations that City Alderman Freeman Bosley listed in his December 1, 1978, letter to you plus other allegations he discussed with us. One allegation concerned rebates by.Washington University to the City Hospital Divi- sion. We did not look into that allegation because, at the time of our fieldwork, the Missouri Division of Inves- tigation and the Federal Bureau of Investigation were investigating the alleged rebates. We reviewed the records of and held discussions with officials of the St. Louis City Comptroller's Office, the Hospital Commissioner's Office, Koch Hospital, and the Truman Restorative Center; the Department of Health, Educa- tion, and Welfare's (HEW's) Social Security Administration, 11111 1 1 . . . .. (106168) 110473 [Io6q731

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