Texas Children’s Hospital agreed to admit to fraudulent practices and other concessions in a second legal settlement related to its past sex-change “care,” a whistleblower’s attorneys announced Wednesday.
Former Texas Children’s Hospital nurse Vanessa Sivadge reached the agreement with the facility after she was fired in 2024 for speaking out about false diagnoses, according to Burke Law Group, which represented her. Sivadge’s case is another blow to the hospital in a long legal saga that began in 2023, when former employee Eithan Haim leaked documents showing the facility was performing sex-change procedures after saying it would stop. Texas abolished child gender interventions in 2023 after Haim’s leak, and the state Supreme Court later upheld the ban.
Sivadge followed Haim’s lead after the procedures became illegal, blowing the whistle on how physicians wrote down false diagnoses to prescribe transgender drugs and cover them with Medicaid. The new settlement requires Texas Children’s Hospital to “publicly admit” the fraud in a written statement, fire five doctors involved, pay $10 million, and implement reforms to correct the behavior, including training on “the dangers and illegality of sex-rejecting ‘gender transition’ treatments,” Burke Law Group said.
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