NASHVILLE, Tenn. — Vanderbilt University Medical Center has turned over transgender patient medical records to the Tennessee attorney general’s office, which confirmed Tuesday it is conducting an investigation into potential medical billing fraud.

VUMC, through a spokesperson, confirmed to The Tennessean, part of the USA TODAY Network, on Tuesday that the facility provided patient medical records to the attorney general. But the move has sparked privacy concerns among families whose children sought treatment at VUMC amid an increasingly contentious political climate surrounding transgender issues in Tennessee, where multiple legal battles are ongoing over state policies.

The attorney general’s office said VUMC began providing relevant records in December 2022, and the state’s investigation is focused on the facility and certain providers, not patients.

The Tennessean reviewed a VUMC notice informing patients of the move, which the facility said was the result of an investigation into “billing for transgender care services provided to individuals enrolled in State-sponsored insurance plans.” The state requested medical records from Jan. 1, 2018 to the present.

“The Tennessee Attorney General has legal authority in an investigation to require that VUMC provide complete copies of patient medical records that are relevant to its investigation,” John Howser, VUMC’s chief communications officer, said in a statement. “VUMC was obligated to comply and did so.”

State attorney general assures patient confidentiality

In its notice to patients, VUMC said it provided the records with the attorney general’s “assurance that the records would remain confidential as required by Tennessee law.”

Brandon Smith, the attorney general’s chief of staff, said in an emailed statement that the office “maintains patient records in the strictest confidence, as required by law” and reassured the investigation isn’t targeting patients.

“We are surprised that VUMC has deliberately chosen to frighten its patients like this,” Smith said. “The Office does not publicize fraud investigations to preserve the integrity of the investigative process.”

Smith said the attorney general’s office has been investigating the potential medical billing fraud since September 2022.

‘I’ve kept her safe’:Families flee states with transgender care bans to protect their children