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Sindya Bhanoo

Hospital employee charged in fraud scheme based on electronic health records

Sindya Bhanoo, The Industry Standard12.23.2008
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The Los Angeles Times reports that a former employee of Cedars-Sinai Medical Center in Los Angeles stole the electronically-stored personal information of more than 1,000 patients.

James Allen Wilson, 44, of Los Angeles used the patient information to file fraudulent insurance claims that netted him at least $69,000. Wilson has been charged with identity theft, insurance fraud and grand theft.

Cedars-Sinai uses electronic medical records, which Wilson had access to for his job. As more hospitals move to computerized patient records, issues of identity theft and medical privacy breaches have become a concern.

That is not to say paper records are not susceptible to theft. In June, a box with 2.2 million University of Utah Hospital patient records was stolen from a courier's car.

Under the Health Insurance Portability and Accountability Act (HIPAA), patient medical information cannot be used or shared without explicit written permission.


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