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MEDICAL CENTER OF INDEPENDENCE v. HARRIS

No. 79-1702.

628 F.2d 1113 (1980)

MEDICAL CENTER OF INDEPENDENCE, Appellant, v. Patricia Roberts HARRIS, Secretary of Health, Education and Welfare, Blue Cross of Kansas City, Blue Cross Association, Appellees.

United States Court of Appeals, Eighth Circuit.

Decided August 28, 1980.

Attorney(s) appearing for the Case

J. D. Epstein, Wood, Lucksinger & Epstein, Houston, Tex., argued, Dennis M. Barry, George R. Laughead, Houston, Tex., and F. Philip Kirwan, Margolin & Kirwan, Kansas City, Mo., on brief, for appellant.

E. Eugene Harrison, Asst. U. S. Atty., Kansas City, Mo., Bruce Granger, Dept. of HEW, Kansas City, Mo., argued, Ronald S. Reed, Jr., U. S. Atty., and Paul P. Cacippo, Regional Atty., Kansas City, Mo., on brief, for appellees.

Before BRIGHT, ROSS and McMILLIAN, Circuit Judges.

BRIGHT, Circuit Judge.

Medical Center of Independence, Inc. (MCI), appeals from a judgment of the district court1 denying MCI reimbursement under the Medicare program for certain management fees, interest expense, and rent. On appeal, MCI argues that the district court erred in its interpretation and application of the "related organization principle" found in 42 C.F.R. § 405.427 (1979). We disagree and therefore affirm.

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