U.S. judge finds that Aetna misled the public about its reasons for quitting Obamacare
Source: L. A. Times
Bates found that this rationalization was largely untrue. In fact, he noted, Aetna pulled out of some states and counties that were actually profitable to make a point in its lawsuit defense and then misled the public about its motivations. Bates analysis relies in part on a smoking gun letter to the Justice Department in which Chief Executive Mark Bertolini explicitly ties Aetnas participation in Obamacare to the DOJs actions on the merger, which we reported in August. But it goes much further.
Among the locations where Aetna withdrew were 17 counties in three states where the Department of Justice asserted that the merger would produce unlawfully low levels of competition. By pulling out, Aetna could say that it wasnt competing in those counties anyway, rendering the governments point moot: The evidence provides persuasive support for the conclusion that Aetna withdrew from the on-exchange markets in the 17 complaint counties to improve its litigation position, Bates wrote. The Court does not credit the minimal efforts of Aetna executives to claim otherwise.
Indeed, he wrote, Aetnas decision to pull out of the exchange business in Florida was so far outside of normal business practice that it perplexed the companys top executive in Florida, who was not in the decision loop.
I just cant make sense out of the Florida dec[ision], the executive, Christopher Ciano, wrote to Jonathan Mayhew, the head of Aetnas national exchange business. Based on the latest run rate data . . . we are making money from the on-exchange business. Was Floridas performance ever debated? Mayhew told him to discuss the matter by phone, not email, to avoid leaving a paper trail, Bates found. As it happens, Bates found reason to believe that Aetna soon will be selling exchange plans in Florida again.
Read more: http://www.latimes.com/business/hiltzik/la-fi-hiltzik-aetna-obamacare-20170123-story.html
cstanleytech
(26,322 posts)into this.
elmac
(4,642 posts)corporate criminals will be rewarded, only whistleblowers go to jail.
JudyM
(29,280 posts)cstanleytech
(26,322 posts)they did this because they were losing money but lied about it.
elmac
(4,642 posts)from a tRump supporter, who would have thunkit
RobinA
(9,894 posts)eMploying sleazy tactics? Who knew?
Crash2Parties
(6,017 posts)BumRushDaShow
(129,560 posts)that may also happen (per a report I heard on the radio this morning). Background info - https://www.bloomberg.com/news/articles/2016-12-13/anthem-cigna-merger-goes-to-judge-for-ruling-that-could-end-deal
maxrandb
(15,360 posts)-in WI, in PA, in NC, in OH????
There needs to such a progressive groundswell and wave in 2018 that even the Supreme Court, gerrymandering, "alternative facts" and hate-radio won't be able to stop it.
It's way past time to clean house.
and...hey Retrumplicans! When progressives take back power, there will be no more pussyfooting around. Some of you are going to jail. Count on it! In fact, jail would probably be the least of your worries. Better steal all the treasure you can now, because with all the stuff that is currently going on, you'll be lucky if all you get is prison time. See the French Revolution for reference.