Far Rockaway, N.Y.-based Peninsula Hospital's financing deal with Revival Home Health Care could be at risk if a judge grants a request by the hospital's unsecured creditors to grant them co-exclusivity with the hospital in determining bankruptcy restructuring alternatives, according to a Crain's New York Business report.
The creditors have argued the hospital has not pursued alternatives beyond the deal with Revival, suggesting the deal could be at risk if the request is granted. A hearing has been scheduled for Feb. 14, according to the report.
A recent report by a court-appointed examiner revealed the "appearance of conflicts of interest" between Revival and Peninsula, in part because Todd Miller was named CEO of Peninsula while working at Revival, according to the report. However, the examiner also found the board did correctly perform its duties and there was no evidence of fraud or undue influence, according to the report
The creditors have argued the hospital has not pursued alternatives beyond the deal with Revival, suggesting the deal could be at risk if the request is granted. A hearing has been scheduled for Feb. 14, according to the report.
A recent report by a court-appointed examiner revealed the "appearance of conflicts of interest" between Revival and Peninsula, in part because Todd Miller was named CEO of Peninsula while working at Revival, according to the report. However, the examiner also found the board did correctly perform its duties and there was no evidence of fraud or undue influence, according to the report
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