Tennessee-Based Pain Management Group To Close Clinics Amid Financial Turmoil
One of theĀ largestĀ pain management groupsĀ in the Southeast is closing multiple clinics amid worsening financial troubles and a federal criminal investigation that targeted its former chief executive.
This week, Tennessee-based Comprehensive Pain Specialists advised patients and employees about clinic closures, leaving patients scrambling to find new doctors willing to prescribe them opioids, according to a on WSMV television.
Based in the Nashville area, CPS opened in 2005 and quickly grew into a powerhouse, which has treated as many as 48,000 pain patients a month, at more than 50 clinics in Tennessee and other states.
CPS did not respond to numerous requests for comment.
The doctor-owned company has endured a series of recent setbacks, including earlier clinic closures, pending lawsuits over alleged debts and the criminal case against former CEO John Davis.
In April, a federal grand jury in Tennessee indicted Davis on criminal kickback charges. He has pleaded not guilty. CPS also has faced nearly a dozen civil lawsuits from contractors alleging unpaid debts, including suits brought by two of its former doctors. A Justice Department official said the closure was not related to the criminal case against Davis.
The shutdown of the clinics comes amid growing backlash against the use of opioids for treating chronic pain. The opioid crisis has cost the U.S. economy more than since 2001, estimates Altarum, an economic research firm. Since 1999, at least 200,000 people have died nationwide from overdoses, according to the Centers for Disease Control and Prevention.
According to the companyās website, CPS now operates 40 clinics in eight states: Arkansas, Illinois, Indiana, Kentucky, Mississippi, North Carolina, Ohio and Tennessee. Half are in Tennessee. The Tennessean Tuesday that all 21 clinics in the state would be closing by the end of the month.
CPS was the subject of a NovemberĀ 2017 investigationĀ by Kaiser Health News thatĀ scrutinized its Medicare billings forĀ urine drug testing. Medicare paid the company at least $11 million for urine screenings and related tests in 2014, when five of CPSā medical professionals stood among the nationās top such Medicare billers. One nurse practitioner atĀ aĀ CPSĀ clinic in Cleveland, Tenn., generated $1.1 million in urine-testĀ billingĀ that year, according to Medicare recordsĀ analyzed by KHN.

Peter Kroll,Ā an anesthesiologist andĀ one of CPSā founders,Ā said at the time thatĀ the testsĀ were justifiedĀ to monitor patients against risks of addiction orĀ reduceĀ chancesĀ the pillsĀ might be soldĀ on the black market.Ā Kroll, who is the companyās current CEO and medical director,Ā billed Medicare $1.8 million forĀ urineĀ tests in 2015, agency records showed.
Kroll took charge of the business when Davis left the company abruptly last summer. He could not be reached for comment Tuesday.
Federal prosecutors charged Davis with accepting more than $750,000 in illegal bribes and kickbacksĀ in a scheme that billed Medicare $4.6 million for durable medical equipment.
āAs CEO, Davis oversaw the substantial expansion of CPS, recruiting new physicians and clinics to join CPS, as well as directing various aspects of the companyās overall treatment of patients,āĀ prosecutors wrote in a May court filing.
Davis has pleaded not guilty.Ā The U.S. attorneyās office has said in court filings thatĀ CPSĀ and its employees areĀ āvictimsā in the case.
The company also has been hit with civil suits. Anesthesiologist Donald E. Jones sued the company inĀ May 2017, alleging that it failed to honor his employment contracts.
JonesĀ said he joined the firm in 2012Ā to staff threeĀ TennesseeĀ clinics atĀ aĀ salary ofĀ $30,000 a month plus a percentage of fees from laboratory and other services. JonesĀ argued that he generated collections in excess of $9 million. In 2016, the clinics served 41,364 patients, the busiestĀ of all the clinics, according to the suit.
But in April 2016, according toĀ the suit, CPS quit paying him andĀ in February 2017 the company began transferring his patients to other clinics and āmaking disparaging remarksā about him to patients.
CPS countered that Jones failed to deliver āsafe and effective medical care, which CPS in court filings attributed to an āongoing compensation dispute.āĀ The suit is pending.

Pain specialist William WagnerĀ also is suingĀ the company. He said heĀ relocated from New Mexico to open a CPS clinic in Anderson, S.C.,Ā lured by the promise of $30,000 a month in salary and a share of the profits from urine tests and other services.
Instead, according to Wagner, CPS failed to collect bills for services he rendered and then closed the clinic. CPS denies Wagnerās claims and says it fulfilled its obligations under the contract. In a counterclaim, CPS argues that Wagner owes it $190,000. The case is pending.
Several contractors, including companies that leased office space and medical software, also have taken CPS to court alleging unpaid bills and leases, according to court filings.Ā The cases are pending.
Kroll told KHN last year that he andĀ fellow anesthesiologistĀ Ā came up with the idea for CPSĀ in August 2005, over a cup of coffeeĀ atĀ aĀ Nashville Starbucks. At the time, TennesseeĀ wasĀ confronting an emerging opioid epidemic.
Kroll, raised in North Carolina, had moved to Nashville to launch a career in anesthesiology, a specialty he chose after watching his older brother die from an agonizing disease with little help from pain specialists.
Joined by two other doctors, Kroll and Dickerson opened with a single storefront in suburban Hendersonville.Ā Dickerson, who was elected to the Tennessee Senate in 2012, remains at CPS, according to its website. Calls to Dickersonās office were not returned.