About half of projected revenues from Natchez Regional Medical Center's final months collected

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NATCHEZ, Mississippi — Revenue collections from Natchez Regional Medical Center's final months have totaled $2 million thus far.

Kenneth Lefoldt, the court-appointed bankruptcy trustee, told The Natchez Democrat (http://bit.ly/1vs9INE ) another $2 million is expected to come in.

Collections should continue for several more months, and Lefoldt said the former hospital's bankruptcy trust has a number of Medicare claims that have not been paid that it is still pursuing.

The hospital's new ownership, Community Health Systems, is involved with the collections.

"CHS is assisting in collection since they have taken over the offices and computers and all of that," Lefoldt said. "But the money is still going into the (former) hospital's bank accounts even though they are assisting in the logistics."

Since the trust was created all of the hospital's lease claims have been paid, and Lefoldt said

Monday was the deadline for any creditor to file a claim for bills owed after the hospital's March 26 bankruptcy declaration.

"We should be getting copies of any of the claims that have been filed and start reconciling those through the books, and we should start cutting checks by year-end to pay creditors (accrued) from the filing of the bankruptcy," Lefoldt said.

After that point, only the professional fees associated with the bankruptcy and the unsecured creditors will remain to be paid.

A $4 million trust was set up from the hospital's sale proceeds to allow for the two-year claw back period on Medicare claims.

"When this two-year period is over, that money hopefully won't be touched and we will be able to pay the unsecured creditors at that time," Lefoldt said.


Information from: The Natchez Democrat, http://www.natchezdemocrat.com/

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