Borrego Community Health Foundation, the federally funded nonprofit healthcare provider that declared bankruptcy earlier this year amid an ongoing criminal fraud investigation, has been approved to sell off its assets to the highest bidders, The San Diego Union-Tribune reports.
The auction of millions of dollars worth of real estate, medical equipment and other property is scheduled for late next month under a ruling from a federal bankruptcy court judge.
Officials at the nonprofit known as Borrego Health said the sale is the best way to protect the thousands of low-income and rural patients across San Diego and Riverside counties who rely on it for medical care.
“The exploration of a sale is good for everyone who cares about the availability and quality of healthcare in rural Southern California,” spokesperson Daniel Kramer said.
The organization acknowledges that under prior leadership it abused the Medi-Cal reimbursement program, and it has sued a slew of former board members, executives and vendors to try and recover millions of dollars in what it says were misspent funds. Read more.
