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March 5, 2008

AG reaches antitrust settlement with chiropractors

Attorney General Richard Blumenthal today announced antitrust settlements with two Connecticut chiropractic trade groups and an attorney who allegedly orchestrated an illegal, anticompetitive statewide boycott of a Connecticut health insurer.

The Connecticut Chiropractic Association Inc. and Connecticut Chiropractic Council Inc. are nonprofit chiropractic trade groups with hundreds of state-licensed chiropractor members. Hartford attorney Robert Hirtle is CCA's long-time counsel.  

A joint investigation by Blumenthal's office and the Federal Trade Commission found that members of both trade groups, spurred on by their leadership, illegally agreed to boycott Anthem Health Plans Inc.'s intention to form a new network for chiropractic services that would be administered by American Specialty Health Networks Inc.

Hirtle facilitated the conspiracy by aggressively urging chiropractors to opt out of the proposed network. Chiropractors feared that the ASH contract would lower reimbursement rates for chiropractic services.

Blumenthal said the illegal boycott improperly influenced the rates paid to chiropractors; raised chiropractic costs for Anthem; and deprived Anthem, ASH and consumers of the benefits of competition among chiropractors.

Under today's settlements, the CCA, CCC and Hirtle have agreed to pay civil penalties to the state totaling $87,000 as well as adopt several measures to prevent future anticompetitive practices.

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