17 March 1999
Health Insurance Commission
P O Box 1001
Dear Mr xxxxxxx,
I refer you to the letter of 20 January 1999, to you and the committee which is investigating Sun's licences for pathology services. I feel saddened that corporate control over the HIC is now so complete that it has no interest in the material which I referred to.
This material throws light on the conduct of people who are now described as displaying "arrogance and avarice" in charging government authorities for expenses. These are the people who will now be responsible for the health of ailing Australians. They will be billing the Medicare system for medical and laboratory services. The latter is the area most subject to false claims and fraud in the USA. Will they continue to display "arrogance and avarice" as they send in their Australian bills.. Their statements show no sign of remorse or contrition. They simply don't believe that they have done anything seriously wrong!
Sun has now settled the fraud action in Connecticut for US $8.4 million. As I indicated a "no wrongdoing proven" clause is part of the settlement trade off in civil health fraud actions. The attorney general described the fraud in very different terms to the company. He scathingly spoke of "arrogance and avarice". He indicated that the case was "open and closed" on the documents alone.
I include the newspaper reports, including the company's version which speak for the lack of candour of the company. Lest you have any doubt of the accuracy of the attorney generals comments I include a selection of the material from this court action in my possession.
Please note that the company is now in a position to take up 55% control of Alpha any time it wants to.