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on september 23, a reporter from the first financial daily confirmed from relevant parties that the public security department has filed a criminal case against wuxi hongqiao hospital for suspected fraud and insurance fraud, and relevant personnel of the hospital have been taken under control.

according to cctv reports, the wuxi medical insurance bureau has already decided to terminate the medical insurance service agreement with wuxi hongqiao hospital in accordance with the agreement management regulations.

on the same day, the official wechat account of the national health insurance administration stated that in response to recent online reports of suspected fraud and insurance fraud at wuxi hongqiao hospital, the national health insurance administration dispatched a flight inspection team to conduct a special flight inspection at the hospital that morning. at the same time, the national health insurance administration instructed the jiangsu provincial health insurance administration to dispatch 20 inspection teams to all districts and counties under the jurisdiction of wuxi city to conduct a comprehensive inspection of more than 100 designated medical institutions.

the reporter from china business news learned that the national medical insurance administration's unannounced inspection will mainly target private hospitals in wuxi. according to statistics from public online data, the reporter from china business news found that there are more than 300 private medical institutions in operation in wuxi.

however, only checking local hospitals in wuxi may not be enough to reflect all the problems. the major shareholder of wuxi hongqiao hospital involved in the case is shanghai media hospital investment group, which has invested in at least 9 hospitals in shanghai, hangzhou, shenzhen, wenzhou and other places.

after the wuxi hongqiao hospital was reported, many people speculated that the hospital was backed by putian investors. a reporter from china business news checked public information and found that the media hospital investment group was indeed once controlled by brothers chen guoxing and chen guoxiong of the chen family, one of the four major putian families.

chen guoxing and chen guoxiong withdrew in 2020 and 2017 respectively. in 2020, wang weimin took over as chairman and legal representative. yicai global is unable to confirm the relationship between wang weimin and the chen brothers.

a reporter from china business news checked public information and found that kunshan hongqiao hospital, which also belongs to the media hospital investment group, had been put under investigation not long ago. in august this year, the kunshan municipal health commission issued a report stating that a formal case had been filed in response to reports from the public about the hospital's illegal and irregular behavior.

previously, some netizens publicly released news that the staff of kunshan hongqiao hospital required the doctor to make the patient spend 7,000 yuan. according to the kunshan municipal health commission, the case was officially filed on august 12, and the investigation and evidence collection, deliberation, legality review, and delivery of the "administrative penalty advance notice" were completed. the administrative penalty decision will be made in accordance with relevant laws and regulations.

a person related to a private hospital lamented to the reporter from china business network: "the putian group has ruined the reputation of the entire private hospital industry. the current situation of private hospitals is already very difficult, and they may face a more severe round of rectification in the future."