A joint investigation team on illegal pharmaceuticals and medicine crimes that investigates illegal medical institutions such as manager-run hospitals has been launched.
The Supreme Prosecutors' Office said on the 18th that it established the joint team at the Seoul Western District Prosecutors' Office with 30 investigators from seven agencies: the police, the Ministry of Health and Welfare, the National Health Insurance Service, the Health Insurance Review & Assessment Service (HIRA), the National Tax Service, and the Financial Supervisory Service.
Going forward, the joint team plans to actively respond to crimes such as the establishment and operation of illegal medical institutions including manager-run hospitals, excessive non-covered treatment, and fraudulent insurance claims. It consists of a total of 30 people: one deputy chief prosecutor, one prosecutor, two prosecution investigators, seven police officers, and 19 personnel from related agencies. Centered on the head of the Food and Drug Crime Investigation Department at the Seoul Western District Prosecutors' Office, it will be organized into a prosecutor's office, an investigation team, an investigation support team, and a joint enforcement team.
Illegal medical institutions such as manager-run hospitals have drawn criticism for fraudulently receiving health insurance premiums paid by the public, acting as a factor draining health insurance finances. President Lee Jae-myung also in Mar. mentioned media reports that excessive treatment at manager-run hospitals has surged and ordered an immediate response to public harm.
In fact, from 2009 to last year, 1,805 institutions were caught in crackdowns on illegal medical institutions and were ordered to have care benefits recovered, and the amount ordered for recovery reached 2.9162 trillion won. However, the National Health Insurance Service's actual recovery rate was only 8.79%.
During investigations, the joint team will promptly pursue procedures for confiscation and preservation for collection, and support final recovery of preserved assets through the NHIS. In addition, separate from criminal penalties, it plans to cooperate with the ministry to ensure swift administrative dispositions such as business suspensions and penalty surcharge.
The Supreme Prosecutors' Office said, "Through interagency cooperation, we will do our best to eradicate the establishment and operation of illegal medical institutions such as manager-run hospitals by thoroughly depriving them of criminal revenue and swiftly imposing administrative dispositions, thereby strengthening fiscal soundness of health insurance finances."