This OPO is graded Tier 2 (2023 Assessment (CY2021 data)) under the CMS Conditions for Coverage outcome measures. Tier 2 is above the median but below the top quartile; these OPOs must compete to retain their service area.
Insider complaint at an OPO preceded a federal fraud conviction; whistleblower called proceeds "blood money"
Alabama Organ Center (University of Alabama Health Services Foundation)
The Senate Finance staff memo documented that in February 2011 UNOS received a complaint from a former OPO staff member alleging the Executive Director had participated in money laundering and financial improprieties, calling the profits "blood money." Separately, DOJ records confirm that a former Alabama Organ Center director and an associate director pleaded guilty to and were sentenced in 2012 for conspiracy to commit health care fraud, health care fraud, and mail fraud in connection with a kickback scheme; DOJ stated the investigation found no evidence the conduct endangered donors or recipients of organs or tissue. (The memo's "money laundering" wording reflects the complainant's allegation, not the offenses of conviction.)
Alabama Organ Center director imprisoned for funeral-home kickback fraud; $498,551 restitution ordered
Alabama Organ Center (component of University of Alabama Health Services Foundation; later rebranded Legacy of Hope)
In 2012, a U.S. District Court sentenced the former director of the Alabama Organ Center — the OPO for the State of Alabama — to 13 months in prison after he pleaded guilty to conspiracy to commit health care fraud, health care fraud, and mail fraud; the director and the former associate director were held jointly responsible for $498,551 in restitution to the University of Alabama Health Services Foundation. Per the DOJ, from about March 2007 to June 2011 the director solicited and received kickbacks totaling roughly $242,344 from a funeral home doing business with the organ center.
DOJ: Two Alabama OPO leaders imprisoned in funeral-home kickback scheme
Alabama Organ Center (University of Alabama Health Services Foundation); U.S. Department of Justice
Two former leaders of the Alabama Organ Center (the director and associate director roles) pleaded guilty to conspiracy to commit health care fraud, health care fraud, and mail fraud and were sentenced to federal prison. From about March 2007 to June 2011 they solicited and received kickbacks totaling roughly $498,551 from a local funeral home doing business with the organ center; restitution of $498,551 to the Health Services Foundation and forfeiture of $256,207 to the government were ordered.
Federal jury awards $14.7M to whistleblower who exposed Alabama Organ Center tissue-recovery kickback scheme; OPO director and associate director earlier pleaded guilty
Alabama Organ Center (University of Alabama at Birmingham)
A federal jury in the U.S. District Court for the Northern District of Alabama returned a 2018 verdict of $14,708,630 for a funeral-home and crematorium employee who blew the whistle on a kickback and false-billing scheme tied to the Alabama Organ Center's tissue-recovery contracts; the jury found 1,709 False Claims Act violations. According to trial counsel, the whistleblower suffered physical abuse, death threats against him and his family, and was disparaged to future employers after reporting the fraud. Separately, federal prosecutors reported the Alabama Organ Center's Director pleaded guilty and was sentenced to 13 months, and its Associate Director was sentenced to 12 months and a day and ordered to pay restitution.
Former OPO director and associate director were federally prosecuted in a funeral-home kickback scheme
Alabama Organ Center (AOC) — director and associate-director roles
Per U.S. Department of Justice and FBI releases, the former director and former associate director of the Alabama Organ Center were charged and, in 2012, sentenced for fraud after receiving more than $498,000 in kickbacks (2003-2011) from a funeral home that did business with the organ center in exchange for steering the center's business to it. The director was sentenced to 13 months and the associate director to a year and a day in prison.
Former Alabama Organ Center director and associate director imprisoned for a funeral-home kickback scheme (2012)
Alabama Organ Center / University of Alabama Health Services Foundation
Per DOJ/FBI announcements, the former director and former associate director of the Alabama Organ Center (an OPO operated under the University of Alabama Health Services Foundation) were sentenced in 2012 to 13 months and to 12 months and a day in prison, respectively, for taking kickbacks (approximately $242,344 and $256,207) from a funeral home in exchange for steering organ-center business to it. The associate director was ordered to pay $498,551 in restitution to the University of Alabama Health Services Foundation and forfeit $256,207.
Federal prosecution: former Alabama Organ Center officials took funeral-home kickbacks; $498,551 restitution ordered to the University of Alabama Health Services Foundation
Alabama Organ Center (now Legacy of Hope); University of Alabama Health Services Foundation
According to U.S. Department of Justice and FBI announcements (2012), two former Alabama Organ Center officials were convicted in a scheme in which they received more than $498,000 in kickbacks from a funeral home doing business with the organ center between roughly 2003 and 2011, without disclosing the financial conflict. The court ordered $498,551 in restitution to the University of Alabama Health Services Foundation; investigators stated the conduct did not endanger organ donors or recipients.
Every item is institution-level public record, source-linked; no patient, donor, or family is named. A Tier or finding here repeats the government's own assessment of an organization holding a public monopoly. Back to OrganWatch.