Romney Defends Actions in Sale of Medical Firm
GOP gubernatorial candidate Mitt Romney downplayed a report that he benefited from the sale of a medical company that later admitted it had profited from Medicare fraud.
The Boston Globe reported that Romney made $473,000 from the 1993 sale to Corning Inc. of Damon Clinical Laboratories, whose profits were generated in part by fraudulently billing Medicare for unneeded blood tests. Romney’s firm, Bain Capital Inc., tripled its investment in the company and made $7.4 million.
However, Romney said he helped uncover the fraud at Damon and hired an outside law firm to investigate it.
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