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Published on 11/4/2019 in the Prospect News Distressed Debt Daily.

Hahnemann University Hospital state license revoked by Pennsylvania

By Caroline Salls

Pittsburgh, Nov. 4 – A letter filed in the Chapter 11 case of Center City Healthcare, LLC, which does business as Hahnemann University Hospital, said the hospital’s state license has been revoked by the Commonwealth of Pennsylvania Department of Health.

According to the letter filed Friday with the U.S. Bankruptcy Court for the District of Delaware, the department conducted a closure survey and determined that Hahnemann no longer meets the criteria to be classified as a hospital under Pennsylvania regulations.

Despite the company’s claims that Hahnemann has made “significant progress” toward closure of the hospital, Pennsylvania Secretary of Health Rachel L. Levine said in the letter that some progress has been made, but a lot of work still needs to be done.

“There are still medical records and personnel, billing and financial files in the building; there are still highly flammable chemicals that must be disposed of or removed; there are still a significant number of medical supplies remaining; the laboratory is full of equipment and supplies; and nuclear medicine, imaging and radiology equipment are still on site,” Levine wrote. “This list is not exhaustive.”

Levine said she informed the court of the current situation at the hospital because she is concerned about the security of the building and the supplies that are still there, but since the license has been revoked, she does not have authority to take any enforcement actions.

Center City is a Philadelphia-based hospital operator. The company filed bankruptcy on June 30 under Chapter 11 case number 19-11466.


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