Texas Lender Sues Closed Pa. Hospital For $3M Debt
PITTSBURGH , Pa. (AP) - A Texas finance company has sued a suburban Pittsburgh hospital that closed suddenly, claiming the hospital was losing $550,000 a month when it defaulted on a $3 million line of credit the company issued last July.
The Brownsville Tri-County Hospital notified the state health department that it was closing on Thursday afternoon. Presidential Healthcare Credit Corporation of San Antonio, filed its lawsuit in federal court in Pittsburgh on Friday.
The hospital was sold to a physicians group in 2005, but closed a year later due to financial difficulties. It reopened in May after a reorganized nonprofit board raised $2 million to renovate the 40-bed facility about 30 miles south of Pittsburgh.
The attorney for the hospital's parent company has not immediately returned a call and e-mail for comment.