Metro East health clinic raided by federal authorities

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by KMOV.com Staff

KMOV.com

Posted on May 9, 2014 at 5:08 PM

Updated Friday, May 9 at 5:36 PM

(KMOV.com) – News 4 has learned two offices belonging to Riverbend Physical Medicine were raided by federal authorities.

The clinic's offices in Wood River and Granite City were the targets of the raid. A former employee who did not want to be identified told News 4 she was not surprised the raid took place.  She said the owner,  James Riggs, engaged in shady business practices.

“There was no money in the account to pay us let alone pay a pharmacy so we were having to borrow from people; literally robbing Peter to pay Paul every time drugs would be ordered,” the former employee said.

She also said employees were constantly being threatened with firing, paychecks would bounce, and that the owner did not pay his payroll taxes.

“Then we found out all the taxes that had been taken out for the past year wasn't paid to the government and there was no record of any of us working,” the former employee said.

News 4 has recently learned Hans Hegel, who was the clinic's director, filed a lawsuit against Briggs in April. In the suit, Briggs alleges his five year contract was breached when he was allegedly fired with no notice.

The FBI did not provide News 4 with any other details.

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