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AMA has retaliated by not accepting AOA accredited interns into any of their residency programs...
Not entirely true. No such thing has happened, as of yet at least, and it looks as if the ACGME (not the AMA) will be yielding in terms of accepting AOA internships/residencies as valid for entry into ACGME residencies and fellowships. This of course remains to be seen since no official statement has been made.