Peninsula Hospital first announced a potential shutdown due to financial woes last July, when it reported it owed vendors approximately $13 million and was $60 million in debt. In September, Brooklyn-based Revival Home Health Care agreed to take over and turn around Peninsula Hospital, which filed for bankruptcy as part of restructuring plans.
However, Revival’s takeover was withdrawn after a state examiner revealed there was an “appearance of conflicts of interest,” as Peninsula CEO Todd Miller previously served as CEO of Revival. As a result, the U.S. Trustee’s office appointed Lori Lapin Jones, JD, as trustee to oversee operations at Peninsula.
Yesterday, Ms. Jones stated in bankruptcy documents that Peninsula’s closure was necessary after a recently failed state inspection forced the hospital to shut down its laboratory, stop admitting new patients and cancel all procedures. Ms. Jones wrote she would close the hospital in “the most efficient and responsible manner” in light of the expenses and time required to reopen the lab.
The news report did not include whether Ms. Jones or another official had determined a projected closure date.
Related Articles on Peninsula Hospital:
Medical Residents Want Peninsula Hospital in NY to Lose Teaching Status
