Hospital Faces $488 Million in Lawsuits Over Fatal Drug Diversion Scheme

Former Nurse Charged in Deaths of 16 Patients at Oregon Medical Center

Three more patients have joined the lawsuits against Asante Rogue Regional Medical Center in Medford, Oregon, bringing potential damages to $488 million. The latest complaint, filed November 14, seeks $22.45 million for victims of an alleged fentanyl diversion scheme that killed 16 patients. Former nurse Dani Marie Schofield faces 44 counts of second-degree assault for replacing intravenous pain medication with non-sterile tap water between July 2022 and July 2023.

5 Key Points

• Twenty-three parties now sue Asante Rogue Regional Medical Center over the contaminated injection deaths.
• Former nurse Dani Marie Schofield faces 44 criminal counts with 70-month minimum sentences per charge.
• The latest $22.45 million lawsuit represents Marty Bolin, Ronald Sizemore, and Rebecca Rogers.
• Hospital revenue exceeds $1 billion annually despite recent operational losses.
• The criminal pretrial conference is scheduled for December 30, 2024.

Criminal Case Reveals Extensive Patient Harm at Oregon Hospital

Former Asante nurse Dani Marie Schofield diverted fentanyl meant for patients at Asante Rogue Regional Medical Center in Medford, replacing the pain medication with contaminated tap water, according to Jackson County prosecutors. The district attorney’s office filed 44 counts of second-degree assault against Schofield in June 2024, following a pattern of patient infections and deaths spanning from July 2022 to July 2023. Court documents detailed how the non-sterile injections led to fatal bloodstream infections in multiple patients, including Marty Bolin and Ronald Sizemore. Schofield secured her release by posting a $4 million bail bond and now awaits a December 30 pretrial conference. If convicted, Oregon law requires a minimum sentence of 70 months for each assault charge, potentially resulting in decades of imprisonment.

Civil Lawsuits Target Hospital’s Prevention Failures

Twenty-three parties have filed civil lawsuits against Asante Rogue Regional Medical Center, with damages now reaching $488 million. The November 14 filing represents three victims: Marty Bolin and Ronald Sizemore, who died from infections linked to the contaminated injections, and Rebecca Rogers. This complaint seeks $22.45 million in damages and joins an earlier lawsuit filed by 18 plaintiffs demanding $337,785,000. Legal documents point to previous drug diversion incidents at Asante between 2016 and 2017, arguing the hospital failed to implement proper security measures despite known risks. The estate of Horace Wilson, who died in February 2022, filed a separate case claiming his death preceded the period covered by criminal charges, suggesting the diversion scheme may have started earlier than prosecutors initially believed.

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Hospital’s Financial Stability Under Scrutiny

While Asante faces potential damages approaching half a billion dollars, financial experts believe the hospital can weather the crisis. Dr. Ge Bai, professor of accounting at Johns Hopkins Carey Business School, examined Asante’s financial records and found the institution generated over $1 billion in revenue last year. Despite posting operational losses in recent quarters, Asante’s investment portfolio has offset these deficits. “It will increase their risk, but I think there’s no imminent threat for bankruptcy at this point,” Bai explained. The hospital’s relatively low debt levels provide a cushion against lawsuits, though Bai acknowledged that the $488 million in potential payouts represents a “very big financial hit” to the institution. The scale of these lawsuits exceeds typical malpractice cases, highlighting the extraordinary nature of the alleged drug diversion scheme and its impact on patient care in southern Oregon.