Hawaiʻi Island clinics fined for not having proper permits

HAWAII, Hawaii (KHON2) — The state Department of Health fined two clinical Hawaiʻi Island labs more than $2 million, as well as issued a cease and desist for not having proper permits.
The Hilo Urgent Care Center was fined $730,000 for not acquiring a state permit before opening its clinical lab over 20 years ago in June 2003.
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They were also fined approximately $1.5 million for their Keaʻau Urgent Care Center for not getting a state or federal permit prior to their opening in July 2008.
The Hilo location does have a federal permit, with the attorney for the clinics saying that they thought the permit covered their other location.
The company has appealed their fines, with attorney Jeff Portnoy saying that the state should have known about the issue as he says the Department of Health renews the federal permit every two years.
'Where has the state of Hawaiʻi been for the last 22 years while my client has been providing these essential medical services to an admittingly under-served community on the Big Island?' Portnoy said. 'They have treated thousands of people over that time by doing basic diagnostic testing when necessary and the state has done nothing.'
Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

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