Attorneys general in Texas and Alabama have launched separate, parallel investigations. Shareholders have also filed a battery of lawsuits. It appears that in some of the facilities, staff were keeping two separate sets of cost reports and work sheets, one for in-company use and one for remittances to the government, the New York Times reported. Carole Florman, a Justice Department spokesperson, says all affidavits relating to the investigation are sealed and will not confirm the types of documents seized or the volume. Justice Department officials say the process could take many months to complete.
More search warrants are likely, along with subpoenas and grand jury subpoenas.
The first indictments could be handed up as soon as the next few months. The company denies any wrongdoing. In total, it employs 285,000 workers. The company has come in for stinging criticism from unions and consumer activists for driving down costs and standards of care in an effort to increase profits. The current flashpoint is Columbia's Las Vegas hospital, where SEIU has been organizing for the past several years.