Holston Medical Group shutters last North Carolina practice amid pandemic, mismanagement claims: 5 details

Holston Medical Group shut down its last practice in North Carolina, according to a Charlotte Busines Journal report

Five things to know:

1. Holston Medical Group previously had 14 offices in the Charlotte region and more than 40 physicians that transitioned from Winston-Salem, N.C.-based Novant Health in early 2019. The six physicians that practiced out of the recently shuttered HMG location are rejoining Novant.

2. HMG filed a mismanagement complaint against the North Carolina group's founders, David Cook, MD, and Ehab Sharawy, MD, on March 31 after the group incurred a $1 million net loss on operations in North Carolina.

3. Prior to the complaint, 35 physicians had submitted six-month resignation notices and HGM laid them off beginning in April. Those physicians formed a new venture that Charlotte-based Atrium Health supports.

4. The group shut down 10 offices and multiple urgent care locations in early 2020, and then eventually laid off 160 employees due to the pandemic. It also implemented mandatory furloughs, which physicians tried to stop in court because it would lead to inadequate resources, they maintained.

5. HMG still has locations in Tennessee and Virginia.

More articles on surgery centers:
ASC considers in-house alternative to 'overwhelmed' hospital testing center — 3 insights
425 surgery centers that received PPP funds of more than $150K by state
4 COVID-19 testing insights for ASCs

© Copyright ASC COMMUNICATIONS 2020. Interested in LINKING to or REPRINTING this content? View our policies by clicking here.

 

Featured Webinars

Featured Whitepapers