CBS MORNINGS "What they've done is extremely evil": Pennsylvania hospital shutdown spurs questions about private equit

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Libertas
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CBS MORNINGS "What they've done is extremely evil": Pennsylvania hospital shutdown spurs questions about private equit

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CBS MORNINGS
"What they've done is extremely evil": Pennsylvania hospital shutdown spurs questions about private equity in health care
This is why the whole Wall Street model is bad.


https://www.cbsnews.com/news/pennsylvan ... 00-10abd1h


https://www.beckershospitalreview.com/f ... hcare.html

Private equity has piled into healthcare in recent years, but one company's recent moves have some questioning whether it belongs in the industry.

Los Angeles-based Prospect Medical Holdings has come under fire for shuttering hospitals and service lines across multiple states after paying itself and shareholders $457 million from a $1.1 billion loan in 2018, CBS News reported Dec. 6. The company paid the loan by selling assets to a healthcare real estate trust.

Prospect Medical then turned around and leased the same assets from the trust, resulting in $35 million in annual rent charges.

The company began cutting services earlier in 2022 at the 168-bed Upper Darby, Pa.-based Delaware County Memorial, the report said. The hospital's emergency department closed in November.

"What they've done is extremely evil, in my words," emergency nurse Angela Neopolitano, who worked at Delaware County Memorial for 41 years, told CBS News. "To gain a dollar, you maybe destroyed lives, maybe even ended lives, because they can't get the help they need."
I sigh in your general direction.
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