Saint Vincents asks court to approve settlement with labor department

By Lisa Kerner

Charlotte, N.C., June 1 - Saint Vincents Catholic Medical Centers of New York asked the court to approve a settlement agreement with the New York State Department of Labor relating to the resolution of alleged priority and secured claims for unemployment insurance contributions.

The DOL has asserted priority claims totaling about $9.3 million against various debtors for the reimbursement of unemployment benefits paid to the debtors' former employees by the DOL's State Reimbursement Fund, according to a Monday filing with the U.S. Bankruptcy Court for the Southern District of New York.

The settlement agreement provides for a $3.0 million cash payment, an administrative expense claim of $128,400.32 and an allowed general unsecured claim of about $6.3 million.

A hearing is set for June 25.

Saint Vincents, a New York-based health-care system, filed for bankruptcy on April 14, 2010. Its Chapter 11 case number is 10-11963.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.