Hospital owners say they’re trying to help former employees

Dennis Sharkey / Editor
Posted 1/27/24

The former Audrain County Hospital owners, Ziva Medical, say they’re caught in between a tough space of getting a business up off the ground and helping former employees who are facing turmoil …

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Hospital owners say they’re trying to help former employees

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The former Audrain County Hospital owners, Ziva Medical, say they’re caught in between a tough space of getting a business up off the ground and helping former employees who are facing turmoil that wasn’t caused by them.

Earlier this month the company had to lay off most of the workforce it hired in 2023 after hopes of opening the hospital by the beginning of this year were dashed by lawsuits and delays in the court system. Although the setback looms large, Gary Greenstein, one of the three investors of Ziva Medical, said they’re still pressing forward.

“This recent hurdle we view as just another challenge to overcome,” Greenstein said.

The recent hurdle is a delay in the company's federal bankruptcy case that was supposed to be settled by now but a recent retirement by the judge working on the case has caused further delays. The company's next appearance in court is in early February.

The company has faced a landslide of lawsuits from former employees of the hospital which at the time was owned by Noble Health. Greenstein said the employees were suing because of lost wages and some got unexpected medical bills after going to the doctor and having their insurance denied because Noble didn’t pay premiums. Greenstein said it’s frustrating on both ends.

“They did a lot of bad things,” Greenstein said about Noble Health. “That has ended up in some people really being hurt. We were being asked to clean up the sins of the owners of Noble, which is a little bit unfair, but I get it, there’s no one else to go after.”

Greenstein said they’ve reached out to the former employee's attorney offering to help them with their situation.

“What was done to the former employees of Noble we think is horrible. I totally empathize with them,” Greenstein said. “We would help them to go after the actual people who did the wrong to their actual clients.”

Greenstein said they’ve also reached out to the U.S. Department of Labor for help. He said Ziva is committed to helping any former employee who is facing huge medical bills because premiums were not paid.

“We can say to the collection agency to ‘Stop,’” Greenstein said. We reached out to the Department of Labor and offered that because it’s the right thing to do. Anything we can do to go after the real people that hurt them.”

Greenstein said the other major financial hurdle the company is facing is with the property’s creditor, the Central Bank. Greenstein said they’ve offered a settlement plan they feel is reasonable and hope federal mediators agree.

“I just wish the Central Bank had more of a long-term view of what would be good for the community rather than a short-term view of they just want to make as much money as they can out of this case,” Greenstein said. “If the Central Bank had a long-term view of the needs of the community I think the Central Bank would easily settle with us.”




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