In response to the "rumors" revealed in a letter to Hoboken, N.J., council members sent by local legal and healthcare organizations, Hoboken Municipal Hospital Authority Chairwoman Toni Tomarazzo said the sale of Hoboken University Medical Center to a private entity does not involve conflicts of interest, according to a Jersey Journal report.
The letter was sent last week by the Coalition for Quality Healthcare and New Jersey Appleseed Public Interest Law Center in the midst of Hoboken University Medical Center's sale negotiations with private entity HUMC Holdco. The two parties had signed a letter of intent in January and planned to complete due diligence and execute the transaction by the end of the first quarter 2011.
Rumors surrounding the transaction include certain members of the authority receiving ownership interests in or new positions with the new owner; that the new owner will be flipping HUMC to a real estate entity for $90 million and immediate profit; and other respondents to the Request for Proposal were not permitted access to confidential information, preventing them from making a competitive bid for HUMC, according to the letter.
In response, Ms. Tomarazzo was adamant that no one on the board has been promised a position with HUMC Holdco. She also said the HMHA is very close to completing the deal.
Read the Jersey Journal report on Hoboken University Medical Center.
Read more about Hoboken University Medical Center:
- Connecticut Management Company Offers To Buy New Jersey's Hoboken University Medical Center for $77M
- New Jersey's Hoboken University Medical Center Begins Sale Negotiations with Private Entity
- New Jersey’s Hoboken University Medical Center Nears Privatization
The letter was sent last week by the Coalition for Quality Healthcare and New Jersey Appleseed Public Interest Law Center in the midst of Hoboken University Medical Center's sale negotiations with private entity HUMC Holdco. The two parties had signed a letter of intent in January and planned to complete due diligence and execute the transaction by the end of the first quarter 2011.
Rumors surrounding the transaction include certain members of the authority receiving ownership interests in or new positions with the new owner; that the new owner will be flipping HUMC to a real estate entity for $90 million and immediate profit; and other respondents to the Request for Proposal were not permitted access to confidential information, preventing them from making a competitive bid for HUMC, according to the letter.
In response, Ms. Tomarazzo was adamant that no one on the board has been promised a position with HUMC Holdco. She also said the HMHA is very close to completing the deal.
Read the Jersey Journal report on Hoboken University Medical Center.
Read more about Hoboken University Medical Center:
- Connecticut Management Company Offers To Buy New Jersey's Hoboken University Medical Center for $77M
- New Jersey's Hoboken University Medical Center Begins Sale Negotiations with Private Entity
- New Jersey’s Hoboken University Medical Center Nears Privatization