Feds Seek Halt Of True Health Ch. 11 Plan Amid Medicare Row

Law360 (December 2, 2019, 8:31 PM EST) -- The U.S. Justice Department filed an emergency motion Sunday in Delaware federal court to halt distributions being made under the Chapter 11 plan of medical testing firm True Health Group LLC as a dispute rages on over $5.2 million in Medicare reimbursement payments.

In a motion filed on behalf of the Centers for Medicare and Medicaid Services, the government said the federal court should bar distributions to creditors as an appeal is pending of a Delaware bankruptcy judge’s approval last week of True Health’s Chapter 11 plan. The DOJ argued that moving forward with the plan will impede CMS’ efforts to...

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