Atlanta ( CNN ) -- Two major hospital chains paid illegal kickbacks to clinics in order to treat undocumented immigrants at their facilities , a federal whistle-blower lawsuit alleges . Health Management Associates and Tenet Healthcare are accused of paying clinics to recruit undocumented pregnant women , then filing fraudulent Medicaid claims after treating them . The lawsuit was filed by HMA 's former chief financial officer and unsealed Wednesday in federal court in Athens , Georgia . It alleges violations of anti-kickback statutes by the hospital companies , pointing to contracts between them and Hispanic Medical Management , which operates clinics around the Atlanta metropolitan area known as `` Clinica de la Mama . '' `` By knowingly entering these contracts with the purpose of receiving patient referral services , defendant hospitals violated federal and state law and submitted false certification to the State Medicaid program that they were in compliance with such federal and state laws , including the Anti-Kickback Statue , '' the lawsuit says . That , according to the lawsuit , led to the state paying `` tens of thousands of ineligible Medicaid claims over the course of a decade . '' The state of Georgia has joined the lawsuit . Georgia Attorney General Sam Olens said he wants to recover state Medicaid funds . `` These hospitals allegedly paid Clinica kickbacks camouflaged as interpreter service payments to funnel emergency Medicaid patients their way and increase their bottom line , '' he said in a written statement . The alleged scheme came to light after former HMA CFO Ralph Williams flagged the contracts with Clinica to his supervisors . `` To me it was pay for patients , pure and simple . I said , 'This is an illegal agreement . It is a kickback situation , ' '' Williams told CNN affiliate WSB-TV in Atlanta . He said he was eventually fired and filed a whistle-blower lawsuit . Tenet Healthcare operates 49 hospitals nationwide , five of which are in Georgia . Health Management Associates operates more than 70 hospitals , three of which are located in Georgia . In a statement , Tenet Healthcare defended the contracts . `` We believe the agreements ... were appropriate and provided substantial benefit to women in underserved Hispanic communities served by those hospitals . The services provided under these agreements included translation , determination of Medicaid eligibility , and other services designed to improve the delivery of obstetric care and increase the likelihood of a safe birth and a healthy baby , '' the statement said . `` These services are important to addressing the healthcare gaps that affect many Hispanic patients and other minority communities . '' Heather Vizena from the marketing department of HMA said the company does not comment on pending litigation . Calls to one number listed for Hispanic Medical Management were answered by a person claiming the clinic had new ownership and a new name . Calls to other numbers were unanswered . Hospitals can file Medicaid claims for emergency services provided to undocumented immigrants , including childbirth . Kickbacks for patient referrals are prohibited under the Medicare and Medicaid Patient and Program Protection Act . Read more : Rehab racket : Frauds , felons and fakes .
A lawsuit says hospitals paid kickbacks to get undocumented immigrant patients . Georgia 's attorney general accuses the hospitals of filing fraudulent Medicaid claims . Former CFO : `` It was pay for patients , pure and simple '' One hospital chain says the contracts were legitimate , helped underserved patients .