A group of former board members that oversaw the Colorado Health Foundation have sued Colorado Attorney General John Suthers after he approved a sale to transfer 40 percent ownership to the foundation's for-profit partner, HCA/HealthOne, according to a Denver Post report.
Mr. Suthers approved Denver-based HCA/HealthOne's acquisition of the 40 percent interest last month, determining the transaction was in the public's interest and the $1.45 billion sale price was fair market value. His approval hinged on the organization's agreement to certain conditions, including a guarantee that none of the seven acute-care hospitals in the system close within the next five years.
Opponents to the deal have filed suit, claiming Mr. Suthers should have ruled against the deal because it violated a hospital-transfer law. They claim Mr. Suthers should have either altered the transaction radically or thrown out the sale completely, according to the report. They say the foundation "fundamentally altered its binding mission when it sold its 40 percent business ownership," and they also claim HCA/HealthOne cannot be trusted, according to the report.
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Mr. Suthers approved Denver-based HCA/HealthOne's acquisition of the 40 percent interest last month, determining the transaction was in the public's interest and the $1.45 billion sale price was fair market value. His approval hinged on the organization's agreement to certain conditions, including a guarantee that none of the seven acute-care hospitals in the system close within the next five years.
Opponents to the deal have filed suit, claiming Mr. Suthers should have ruled against the deal because it violated a hospital-transfer law. They claim Mr. Suthers should have either altered the transaction radically or thrown out the sale completely, according to the report. They say the foundation "fundamentally altered its binding mission when it sold its 40 percent business ownership," and they also claim HCA/HealthOne cannot be trusted, according to the report.
Related Articles on HCA/HealthOne and the Colorado Health Foundation:
Colorado AG Approves HCA's Purchase of Colorado Health Foundation's Interests in HealthOneHCA-HealthOne Offers More Than $500M to Lease Colorado's Memorial Health
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