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Tenet Jurors Deadlocked

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From Bloomberg News

Jurors said they were deadlocked in deliberations in a kickback case involving Tenet Healthcare Corp., under trial for allegedly paying doctors for referrals to its San Diego hospital

U.S. District Judge James Lorenz in San Diego said he would instruct jurors today to resume deliberations. The jurors must decide whether Alvarado Hospital and its former chief executive are guilty of one count of conspiracy and 19 counts of violating an anti-kickback law.

Prosecutors claim that hospital administrators paid more that $10 million in kickbacks disguised as physician-relocation agreements to encourage doctors to refer more patients to Alvarado Hospital. If found guilty, former CEO Barry Weinbaum could go to jail, and Alvarado and the Tenet unit that owns it may be excluded from some government programs.

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“The jury cannot arrive at a verdict for guilty or not guilty on any counts,” according to the note sent late Monday after four days of deliberations.

Kent Jarrell, a spokesman for Dallas-based Tenet, declined to comment.

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