State and local officials weren’t surprised that Prospect Medical Holdings filed for Chapter 11 bankruptcy Saturday, but that doesn’t mean they were happy about it, writes Kenny Cooper for WHYY.
The California-based for-profit company is the owner of Crozer Health, which operates four hospitals in Delaware County, only two of which are currently open.
“Prospect’s Chapter 11 filing is the unfortunate culmination of years of mismanagement, financial looting and willful disregard for public health, and the well-being of the people that they serve and the employees in the system,” said Dr. Monica Taylor, chair of Delaware County Council.
Peggy Malone, president of the Crozer-Chester Nurses Association said they are disappointed Prospect has fallen to this level, but also hopeful.
Prospect Medical Holdings has been trying to sell Crozer Health. The bankruptcy filing should make that easier, officials say.
Buyers are interested in acquiring Crozer Health but don’t want to get involved in Prospect’s outstanding debt, mortgage payments, or pension issues, said State Sen. Timothy Kearney.
The bankruptcy courts will be able to move past those issues, he said.
Malone credited the nurses with providing excellent care with “very little” resources.
Find out more local reaction to the Prospect bankruptcy filing at WHYY.
