Police have launched an investigation into 12 medical institutions suspected of offering treatment fee refunds, known as "payback," to cancer patients.
The Korean National Police Agency said on the 15th, "We received a request from the Ministry of Health and Welfare to investigate 12 hospitals suspected of treatment fee payback, assigned the cases to dedicated investigation teams in the relevant jurisdictions, and ordered a swift launch of the probe."
By region, the cases include five in Daegu, three in Gwangju, two in South Jeolla Province, one in Seoul, and one in northern Gyeonggi Province.
On the same day, the Health Ministry's administrative investigation team on abnormal and fake treatment also announced that it had additionally referred 12 medical institutions suspected of treatment fee payback for investigation. Payback refers to the practice of luring patients by refunding a portion of treatment fees or providing economic benefits. It violates the provision banning the inducement and brokering of patients under the current Medical Service Act.
As such payback practices at some medical institutions have recently come under scrutiny, the Health Ministry formed the administrative investigation team on abnormal and fake treatment and has been receiving tips and conducting on-site inspections. As of the 13th of this month, about 50 tips had been received.
The medical institutions the Health Ministry referred for investigation this time are those judged to require swift investigation due to the high credibility of the tips. These hospitals are believed to have used methods that went beyond simple treatment fee refunds, including operating non-covered treatment packages, exploiting private indemnity insurance, and providing cash or goods.
Kwak Soon-heon, head of the Health Ministry's administrative investigation team on abnormal and fake treatment, said, "The ban on inducing and brokering patients is a fundamental principle of the Medical Service Act to protect the professional judgment of medical personnel and patients' proper choice of treatment." He added, "We will continue to link tips, on-site inspections, and cooperation with investigative agencies to respond firmly to acts suspected of violating medical laws."
