New York oncology practice files for bankruptcy following FBI raid

CCS Oncology in Amherst, N.Y., a private oncology practice that is under federal investigation, filed for Chapter 11 bankruptcy protection April 2, according to The Buffalo News.

Here are four things to know.

1. CCS Oncology and its affiliated companies owe $18.1 million to CCS' 20 largest unsecured creditors. Most of the debt is owed to Bank of America. The bank sued CCS Oncology after its owners defaulted on more than $16 million in loans, according to The Buffalo News.

2. CCS filed for bankruptcy following a raid by FBI agents in late March. The agents were gathering information related to an ongoing investigation into possible billing fraud at the practice, according to The Buffalo News. Company officials have denied any wrongdoing and no charges have been filed against CCS or its executives.

3. CCS' bankruptcy filing also came shortly after a federal judge issued an order allowing Bank of America to seize the company's assets. The bankruptcy filing places the Bank of America proceedings on hold, according to The Buffalo News.

4. CCS told The Buffalo News the practice will continue to serve oncology patients during the restructuring process. "We are now undertaking financial restructuring, through which we expect to achieve long-term financial sustainability and the flexibility to serve the community," the company said in a statement to The Buffalo News.

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