Kentucky Hospital Files Chapter 7 Bankruptcy – Devastating News for Area Residents

Written by CFB Blogger. Posted in Blog

Nicholas County Critical Access Hospital, a nearly 20-bed facility run by Johnson Mathers Health Care and employer to more than 80 people, has recently filed for Chapter 7 bankruptcy. The decision also affects the walk-in Rural Health Clinic, which is owned and operated by the hospital. The Johnson Mathers Nursing Home, a skilled nursing facility that houses more than 100 residents and is no longer affiliated with JMHC will remain open. In a report for www.kyforward.com by Kristy Robinson Horine, “Mike Pryor, the Nicholas County judge-executive, says the city and county are optimistic and have already had contact with other providers who want to come in and take a look at the existing facilities to see what they can do to bring some level of care to the community. Usually, in a Chapter 7 bankruptcy, even for 501 (c) 3 nonprofits such as the Nicholas County Hospital, all assets are liquidated to pay off creditors. In the case of the current hospital, the county owns the building and the grounds, so there can be no security interest there. Liquidation would only affect the materials and equipment inside the hospital corporation itself. Regardless of the eventual outcome of this unfortunate occurrence, the closing of the hospital in this rural area of the country will have vast and probably deleterious outcomes for the 197-square mile county and the 7,000 who reside there, as well as for those who live and work just outside of that area. From the same article, “’The fiscal court and the city are working, along with everyone else, to get the advice we need to bring something up out of the ashes to serve the people of Nicholas County. Somehow, some way, we’re going to make this work at a level to keep our people safe.’” If you are facing piles of unpaid credit card bills, medical bills and deficiencies on foreclosed mortgages or repossessed cars due to long-term unemployment, filing for Chapter 7 or Chapter 13 personal bankruptcy with a Client First Bankruptcy attorney at your side may be the key to your financial freedom. For your free initial phone consultation, please call us at 800-383-6004 Monday-Friday from 8:30 a.m. – 6:00 p.m. Central Time. For up-to-date information on filing your personal bankruptcy, you can log onto www.clientfirstbankruptcy.com anytime. We have helped thousands of clients discharge their debt; we may be able to help you too. Stop struggling with bills; and start living debt-free. What are you waiting for? Call us now!