State to revoke Sacred Heart Hospital's license - | KTBC Fox 7 | News, Weather, Sports

State to revoke Sacred Heart Hospital's license

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SPRINGFIELD, Ill. (Associated Press) -

Illinois regulators are moving to revoke the license of a troubled hospital on Chicago's West Side after it abruptly closed without giving the required 90 days' notice.

Illinois Department of Public Health Director Dr. LaMar Hasbrouck says the department is starting disciplinary action against Sacred Heart Hospital, which closed its doors Monday.

In April, federal prosecutors issued a complaint against the hospital. An investigation dating to 2011 led to the arrest of hospital owner Edward Novak and other executives and doctors for allegedly conspiring to exchange kickbacks for referrals of patients insured by Medicare and Medicaid.

Novak issued a statement through his attorney saying Medicare stopped paying the hospital after his arrest, which forced the hospital to close. He denies the allegations against him.

Copyright 2013 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

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