4 out of 10 Participants in Illegal Establishments Are Doctors or Pharmacists... One Manager Involved in Up to 31 Locations

Analysis Results of the National Health Insurance Service

Analysis of participants involved in illegally established institutions (medical institutions and pharmacies) revealed that 4 out of 10 were doctors or pharmacists. In particular, it was notable that 'office managers' employed elderly doctors and pharmacists facing economic difficulties to illegally open institutions.

National Health Insurance data photo. [Image source=Yonhap News]

The National Health Insurance Service disclosed on the 21st the analysis results of participants in illegal establishments by occupation, type of care institution, and age group. Participants in illegal establishments refer to those identified in investigation reports by investigative agencies (including indictments and judgments) as lending their names to illegal institutions, office managers (actual operators), conspirators, or accomplices.

From 2009 to 2021, a total of 2,564 participants in illegal establishments were identified. Among them, 2,240 (87.9%) were involved in medical institutions, and 331 (12.9%) in pharmacies. Among these, 7 office managers were involved in both medical institutions and pharmacies.

By occupation, excluding corporations, out of 2,255 individuals, the largest group was laypersons with 1,121 (49.7%), followed by doctors with 748 (33.2%), pharmacists with 198 (8.8%), other healthcare professionals with 178 (7.9%), and nurses with 10 (0.4%). These participants were involved in a total of 3,489 institutions, averaging 1.5 institutions per person. The Service explained that doctors and pharmacists participated mainly as name lenders, while healthcare personnel and laypersons mainly acted as office managers.

About 30% of all participants were involved in multiple care institutions rather than being limited to one. Those involved in two or more institutions numbered 755 (29.4%). Notably, one office manager was involved in as many as 31 institutions. The age distribution of participants was 737 (32.7%) in their 50s, 596 (26.4%) in their 40s, and 339 (15%) aged 70 or older.

In summary, it is understood that office managers in their 40s and 50s, due to health issues or economic difficulties, employ elderly doctors and pharmacists aged 70 or older to illegally establish and operate institutions.