Skip to main content

Philadelphia Will Get Some Say Over Hahnemann Bankruptcy Moves

Submitted by jhartgen@abi.org on

A bankruptcy judge ordered the company closing Hahnemann University Hospital and selling St. Christopher’s Hospital for Children to alert Philadelphia officials if there are indications any prospective buyer would reduce services, WSJ Pro Bankruptcy reported. Lawyers for bankrupt hospital operator Center City Healthcare LLC, its creditors and the city debated during a hearing on Friday about how much involvement Philadelphia civic officials should get while the health system is broken up. The city, concerned about maintaining services at St. Christopher’s, had said it wanted to be designated a “consultation” party during the sale process for the 188-bed teaching hospital, which has 1,500 employees. That would have given the city the same standing in the sale process as the official committee of unsecured creditors and a representative for the lender financing the company during bankruptcy. Deputy city solicitor Megan Harper said on Friday that Philadelphia wanted to be involved in all aspects of the sale process, including reviewing information submitted by potential bidders and attending and participating in the auction.