Lindsay Accuser on the Offensive as State Officials Launch Investigation

Health Department probing whether Lohan's privacy was violated by a sober living staffer

By Josh Grossberg Dec 23, 2010 5:54 PMTags
Dawn Holland, Lindsay LohanTMZ; Fame Pictures

If this were a movie, it might be called Confessions of a Former Betty Ford Employee.

California authorities have launched an investigation into Betty Ford and the staffer fired Tuesday for releasing confidential information about Lindsay Lohan.

But that doesn't mean the axed Dawn Holland is going to shut up. On the contrary, she's lawyered up and raring to go.

"Currently the California Department of Public Health has an ongoing investigation at the Betty Ford Center and because this matter is an ongoing investigation we can't comment," a spokesman tells E! News.

"Once the investigation is concluded, if there is a deficiency documented in the facility, then that document becomes public record 30 days after the deficiency is issued to the facility."

Specifically officials are looking at whether Holland and Betty Ford broke any HIPAA laws, which forbid those working in the medical field from disseminating a person's private health records.

The move comes after Holland, an ex-chemical dependency technician, admitted to Radar Online that she sold her account of her run-in with the troubled starlet to TMZ in exchange for a payment north of $10,000.

Holland accused Lohan of misdemeanor battery following a confrontation on Dec. 12. Lohan allegedly returned to her sober-living facility after curfew and refused to take a drug or alcohol test. That confrontation sparked an investigation by local police. If the cops deteremine there was evidence of a crime, they will forward their findings to the D.A.

Shortly after news broke about the incident however, the drug treatment organization promptly fired the worker for talking to the media about it.

Holland in turn hired attorney Keith Davidson, who made the morning show rounds today announcing that Holland isn't having any second thoughts about pressing criminal charges against Lohan. But he adamantly denied any HIPAA violation occurred.

"When a patient attacks a caregiver, the patient waives a large part of their privacy," the legal eagle told Today. (Legal experts tell E! News that this is not necessarily true; while caregivers are allowed to report any criminal allegations to police, they are not necessarily allowed to go to the media.)

Davidson also confirmed his client plans to sue Betty Ford for a big payday alleged civil rights violations but has no plans on filing any battery lawsuit against Lohan.

While staying mum on the specifics, Lohan's legal eagle, Shawn Chapman Holley, did issue a statement Wednesday saying that it was the thesp who called the cops about the alleged altercation, and not Holland.

As for whether the incident could put Lohan back in jail, her probation officers aren't rushing to judgment and will wait for the results of the criminal probe before taking any action. She is still on track to be released from Betty Ford on Jan. 3 and then must return to court on Feb. 25 for a progress-report hearing, at which time the judge might discuss the Holland incident.