Judge: Randolph Medical Center Cannot File for Bankruptcy

A U.S. bankruptcy court judge has ruled that Randolph Medical Center in Roanoke, Ala., cannot file for Chapter 11 bankruptcy protection, according to an Anniston Star news report.

Randolph Medical Center is owned and operated by Roanoke Health Care Authority, which filed for the hospital's debt relief. The judge ruled the healthcare authority is not eligible for Chapter 11 protection because it "does not meet the description for a person under federal bankruptcy code," according to the news report.

The hospital was forced to close its doors in March after emergency medicine physicians walked out. At that time, the hospital was approximately $9.6 million in debt. Although the future of Randolph Medical Center is uncertain, Bill McKenzie, former president and CEO of Montgomery, Ala.-based Gilliard Health Services, said he plans to buy the hospital and re-open it by the end of this summer, according to the news report.

Read the news report about Randolph Medical Center.

Related Articles on Hospital Bankruptcy:
Hawaii Medical Center Files for Second Chapter 11 Bankruptcy
California's Doctor's Medical Center Posts $15.5M Loss, May Declare Bankruptcy Again
Massachusetts' Northern Berkshire Healthcare Files For Bankruptcy

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