HCFA hit on settlements. Alleged provider 'sweetheart deals' seen as bad precedent.

Call it selective prosecution. Last week's disclosure of several alleged "sweetheart deals" involving the settlement of Medicare billing disputes has HCFA officials concerned that other healthcare providers could start demanding more favorable treatment. Former HCFA Administrator Bruce Vladeck (left) was among those testifying on those cases last week in Washington. Meanwhile, a look at data on federal fraud investigations shows big geographic disparities in those probes. See story on p. 36.