WHEELING – A Northern Panhandle pain management doctor says officials at a local hospital have squeezed him out of the market.
Roland F. Chalifoux Jr. filed his complaint in federal court against Wetzel County Hospital, West Virginia United Health System doing business as West Virginia University Health System or WVU Health System, Dr. Donald Blum, Dr. Niraj Mohan, Dr. Matthew Sokos, Dr. Hany Tadros, Sean Smith and Jessica Huffman. Smith is president of WCH.
Chalifoux was indicted on 32 counts of healthcare fraud, wire fraud and mail fraud in 2017, but those charges later were dropped by federal prosecutors.
According to the complaint, Wetzel County Hospital suspended Chalifoux’ privileges on June 16, 2022, following an incident on June 6. Smith appointed Huffman to investigate the allegations against Chalifoux. Huffman is an RN and assistant vice president of clinical services at Wetzel County Hospital.
The complaint does not include details of the allegations made against Chalifoux.
“Huffman interviewed defendant WCH’s obviously biased employee witnesses but never interviewed Dr. Chalifoux or the patient,” the complaint states, noting Smith allowed Chalifoux to perform three more procedures after he knew of the June 6 incident before the June 16 suspension.
Because he isn’t a health care professional, Smith also testified he consulted with members of the hospital’s Medical Executive Committee. Those are Blum, Sokos, Mohan and Tadros. That same MEC conducted a hearing July 1 to consider ending the suspension. Chalifoux calls this “clear conflict of interest” a “sham peer review.”
Prior to the July 1 hearing, Chalifoux says WCH and WVU officials didn’t provide him with a copy of the complaint against him or a copy of any witness statements. The MEC upheld the suspension. Chalifoux appealed to the WCH Board of Directors, which upheld the suspension.
Chalifoux then sought injunctive relief in Wetzel Circuit Court, and he was denied help there. Then, WCH and WVU reported the suspension to the National Practitioner Data Bank and the West Virginia Board of Osteopathic Medicine. Earlier this month, the WVBOM dismissed the complaint.
He calls the measures taken against him as “draconian punitive action.”
Meanwhile, Chalifoux says WCH and WVU were recruiting and hired Dr. Luay Mrad, who also specializes in pain management like Chalifoux. WCH and WVU promoted the hiring of Mrad with billboards touting, “Your pain is under new management.”
Chalifoux says WCH and WVU intentionally drove him out of the market to attempt to limit and control competition and monopolize the market share of which he says they already had more than 50 percent. He says his reputation has been damaged by the defendants and that he has suffered damage and financial harm.
He says the suspension “makes it virtually impossible” for him to obtain new medical staff privileges at any other hospital or licensure in other states.
Chalifoux accuses the defendants of restraint of trade in violation of the Sherman Antitrust Act, violating his right to due process with the “sham peer review,” defamation, civil conspiracy and tortious interference.
He seeks compensatory damages, punitive damages, attorney fees and court costs.
Chalifoux is being represented by Scott H. Kaminski of Ray Winton & Kelley in Charleston.
In 2018, Chalifoux entered into a Pretrial Diversion Agreement after he had been indicted on 32 counts of healthcare fraud, wire fraud and mail fraud in 2017. Federal prosecutors then filed a motion to dismiss the case, and Chalifoux agreed to pay restitution in the amount of $28,606.75.
Chalifoux, who owned Valley Pain Management in McMechen, was accused of billing Medicaid and other insurers for visits when he was not in the office.
U.S. District Court for the Northern District of West Virginia case number 5:22-cv-00313