The plan is opposed by federal regulators, who worry that property paid for by U.S. taxpayers may be sold.
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.
“The only way to ensure the continuity of care to Borrego Health’s patients is to transfer the clinics to a more financially stable operator,” Kramer said. But the sale is being opposed by regulators, who told the court they are worried that property paid for by U.S. taxpayers will be included in the property set to be sold to the highest bidder.
Regulators said Borrego Health collected $17.6 million in federal COVID-19 relief funds approved in the early months of the pandemic. The agency has not yet reported on how it spent just over $6 million of that aid.
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