NewCare bankruptcy prompts first default.The recent Chapter 11 bankruptcy bankruptcy, in law, settlement of the liabilities of a person or organization wholly or partially unable to meet financial obligations. The purposes are to distribute, through a court-appointed receiver, the bankrupt's assets equitably among creditors and, in most filing by Atlanta-based NewCare Health Corp. has forced at least one municipal bond issuer into default. The default was on a 1985 bond issue by Tyler Tyler, city (1990 pop. 75,450), seat of Smith co., E Tex.; inc. 1850. In the heart of the rich East Texas oil field, Tyler has refineries and other oil-based industries. Health Facilities Development Corp. NewCare's bankruptcy filing listed 22 companies and partnerships that may have used municipal bonds totaling between $50 million and $60 million to finance the company's nursing homes. The notice of default was caused when a $247,00 check sent to Sentinel for a June June: see month. 1 bond payment was returned for insufficient funds. Tyler Health, a conduit conduit /con·du·it/ (kon´doo-it) channel. ileal conduit the surgical anastomosis of the ureters to one end of a detached segment of ileum, the other end being used to form a stoma on the issuer, sold $6.06 million of unrated revenue bonds for the Tyler Park Place nursing home. The debt carried an 8 1/2 percent coupon through 2018. |
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