Physicians
e-Newsletter
Intelligence Unit Special Reports Special Events Subscribe Sponsored Departments Follow Us

Twitter Facebook LinkedIn RSS

Indiana Hospital Files for Chapter 11

Margaret Dick Tocknell, for HealthLeaders Media, June 26, 2012

Saint Catherine Regional Hospital in Charlestown, IN has filed for Chapter 11. A request to incur secured debt of $1.5 million from a credit corporation to continue hospital operations notes that a potential buyer has been identified for the 60-bed hospital, which will be sold as a going concern.

The Indiana hospital is the sister facility to Saint Catherine Medical Center in Ashland, PA, which closed and filed for Chapter 7 bankruptcy in April 2012. Both hospitals are operated by Saint Catherine Healthcare, LLC.

The financial petition was filed last week in US Bankruptcy Court for the Southern District of Indiana. According to court documents, the hospital owes an estimated $8.3 million in unsecured claims to its 20 largest creditors, including:

  • $2.5 million to Saint Catherine Healthcare LLC
  • $771,816 to Capital Blue Cross
  • $399,833 to Indiana Emergency Physicians
  • $186,650 to Sefton Anesthesia Service
  • $105,856 to the IRS
1 | 2 | 3

Comments are moderated. Please be patient.