Saturday, May 10, 2014

Kosair sues Norton over use of donations to Children's Hospital; Norton says charity weaseling out of obligation

Kosair Charities, which gives more than $6 million a year to Kosair Children's Hospital in Louisville, has sued the hospital's parent, Norton Healthcare, accusing it of misusing some of the money "to enhance its bottom line and 'line the pockets' of its executives," and has "refused to provide an accounting of how Kosair's donations are spent," Andrew Wolfson reports for The Courier-Journal.

"Norton spokesman Thomas Johnson said the company 'categorically' denies that 'money designated for Kosair Children's Hospital was somehow spent for any other purpose or in any other Norton Healthcare facility'," Wolfson writes. "In a statement the company called the lawsuit 'baseless' and said, 'Over the last few years Kosair Charities has engaged in a systematic pattern of raising baseless allegations in an effort to avoid its contractual obligations to the children's hospital that carries its name.'" (Read more)

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