SE Texas Record

Wednesday, October 23, 2019

Medical recruiter sued for fraudulent business practices

By Matt Russell | Oct 7, 2013

An Oklahoma medical recruiter is being sued for fraudulent business practices and misrepresentation by a Texas medical group.

College Street Medical Group and CS Medical Management filed a lawsuit Sept. 25 in the District Court of Jefferson County against Rebecca Woods, individually and doing business as Woods Medical Recruiting, citing fraud, fraudulent inducement, negligent misrepresentation, negligence and constructive fraud.

The complaint states that Woods runs a nationwide medical recruiting service from Oklahoma, and that she solicited the business of the plaintiffs to recruit doctors and other personnel for the plaintiff's operation in Beaumont. The defendant would then collect a 'finder's fee' for all personnel hired by the plaintiffs, according to the filing. Woods also approached the companies about recruiting personnel to establish a medical center in Yuma, Ariz., where the defendants' owner has property.

According to the complaint, the plaintiff informed the defendant that any personnel hired would need to be able to obtain a Medicare national provider identification number to bill and receive payments from Medicare. The defendant recommended the hiring of a licensed naturopathic physician, but failed to disclose that the physician would not be able to collect from Medicare until after the physician was hired, and the finder's fee was paid to the defendant.

College Street Medical Group and CS Medical Management are seeking damages in excess of $600,000, plus court costs. They are being represented in the case by Beaumont attorney John S. Morgan of the Morgan Law Firm.

The case has been assigned to Judge Donald Floyd, 172nd District Court.

District Court of Jefferson County Cause No. E194831.

This is a report on a civil lawsuit filed in the District Court of Jefferson County. The details in this report come from an original complaint filed by a plaintiff. Please note, a complaint represents an accusation by a private individual, not the government. It is not an indication of guilt, and it only represents one side of the story.

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