I only followed the case from the info posted on here, and the occasional news or medscape article, but it definitely seemed like the hospital guided the PD and prosecutors office to indictment. Basically seemed like they reported it w/ the connotation "hey this doctor has been murdering patients for years, here's the proof why it was definitely murder" rather than "hey this doctor has done this stuff. we're not sure whether it was criminal or not, but felt the need to report it just in case".
It looks like the lawsuit is filed in federal court, are impediments as high there as for states? It definitely seemed to me that they were defaming him to the media in public statements. I wonder if they could be held liable for defamation in connection w/ statements made to the patients' family members from that settlement. Unless it gets dismissed on legal grounds, I would have a hard time seeing any outcome other than a settlement.
(Hypothetically, say my wife gets into a car accident and someone is seriously injured or killed. I apologize profusely to the other party after the fact, pay them off and falsely imply she was drunk. Unbeknownst to them, we're in the middle of a contentious divorce and I hate her guts. Later on to the police, I mention that I found an empty bottle that morning and her speech was slurred before she left (leaving out the fact that I had emptied the bottle the night before myself). She's eventually found not guilty, but her reputation is ruined, she lost her job and I get to keep the cat. Can she come back and sue me for malicious prosecution?)