Evening star., 1938-08-01
G.. H. A.
Continued From First Page.)

ure of the inquiry was made exclu-
sively by The Star on June l.
The Justice Department, while hold
ing out the threat Of criminal prose-
cution intimated that correction by
the organized medical profession of
practices complained of might lead
to consent decree" Possibility Of
new legislation was hinted.
The absence of moral turpitude,
however declared the statement,
does not lessen the duty OF the de-
partment to prosecute where it be-
lieves violations Of the antitrust laws
have occurred. This duty has been
laid upon it by Congress"
Although the proceeding concerns
especially the District of Columbia.
Mr.. Arnold said 1T is selected because
its Importance is Nation-w wide and its
value as precedent is of far-reaching
consequence on one of our most press
ing problems"
The department emphasized that it
was not in position to decide wheth
or not cooperative health associations
are a proper solution to the problem
of providing adequate medical care
for persons OF moderate income, but
that Its function is rather to prevent
artificial impediments by organized
groups who desire to escape competi-
ton from the various attempts which
may be made from time to time to
bring down the cost of medical care"
Three methods of alleged influence
on G. H. A, were laid to the Medical
Society and the A. NJ A. by the de-
partment. They we're:
Expulsion Threatened.
81. Threatened expulsion from the
District Medical Society OF doctors who
accept employment with Group Health
Association. Because of the power and
standing of the Medical Society, and
the stigma sometimes attached to ex-
pulsion from it. this causes Group
Health Association great dificulty in
employing competent physicians.
.. Threatened expulsion from the
Medical Society of doctors who take
part in medical consultations with
doctors on the Group Health Associ-
alton staff This, in effect. amounts
to forcing members of the Medical So
ciety to participate in an illegal boy
colt Of Group Health Association doc
tors.
"3. The exclusion from Washington
hospitals Of the Group Health Associ-
alton staff doctors; this has been ac-
complished either in combination with
the various hospitals or by means of
influence, which may or may not have
amounted to coercion, upon them
This exclusion has made it impossible
for doctors af1iliated with Group Health
Association to practice their profession
in the hospitals. and it has prevented
members Of the association who enter
the hospitals as patients from having
the services Of the physicians of their
own choice"
Antitrust Law Violation Held.
In the opinion of the department,
the statement continued, this is a vio-
lation of the antitrust laws because
it Is an attempt on the part of one
group Of physicians to prevent qualified
doctors from carrying on their calling
and to prevent members of Group
Health Association from selecting
physicians of their own choice
The department interprets the law
as prohibiting combinations which pre-
vent others from competing for services
as we'll as goods. The particular per-
sons responsible for this violation can
only be ascertained by grand jury
investigation. Such an investigation
will be undertaken by the department
in the near future"
In its unusual declaration the de-
partment went deeply into the state
OF the Nations health, pointing out
that there was need for more adequate
medical care. 1t explained that in
instituting the grand jury investiga-
ton the department was mot de-
Gliding what are the proper methods
of solving the problems Of medical
economics or, indeed, whether cooper
ative health associations have a place
among those methods
1T simply takes the position" de-
clared the department, that monop-
oily practices should not be employed
to prevent what may be Illuminating
experiments in this field"
Medical Service Monopoly Illegal.
"The department believes" the
statement continued. that the anti
trust laws make 1t illegal for medical
societies or individual practitioners In