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CW Williams Health Center Files For Bankruptcy

Charlotte Hospital Serves Low Income Population

After months of cutting back numbers of personnel, and the start of legal action by creditors, the C.W. Williams Health Care Center in Charlotte, North Carolina, filed for Chapter 11 bankruptcy protection on December 1, 2014.

C.W. Williams Health Care Center caters especially, but not exclusively, to low income patients. It is the only health care facility in Mecklenburg County that is federally qualified.

As reported by the Charlotte Observer, C.W. Williams owes millions of dollars, most notably $1.8 million to its 20 largest creditors. The biggest liability is to Certus Bank of Mauldin, South Carolina, at $680,000.

Nelson Adesegha, the Chairman of the Board at C.W. Williams said,” We are seeking bankruptcy relief in court due to the health care center’s cumulative financial debt, and the current lawsuit against C.W. Williams.” The attorney that is representing the Charlotte health care facility is Robert Lewis of Raleigh, N.C.

During the previous week, Leon Burton, the executive director at C.W. Williams, contacted the Mecklenburg County Manager Dena Diorio, to let her know of the health care facility’s intentions.

Diorio added, “As a result of two judgements filed against C.W. Williams, their bank accounts were frozen, which prevented the full operation of the health care center.”

C.W. Williams Continues To Operate

Burton was quick to note that in spite of the financial issues that C.W. Williams is going through, “the health care clinic will remain open three days a week to treat its patients.”

“The filing for bankruptcy at this point,” said a hopeful Adesegha, “Will allow the health center to continue operating under the protection of the court while reorganizing its operation and finances.”

C.W. Williams Health Care Center has been helping hundreds of patients in Charlotte by providing medical care to families from low income brackets for 30 years.

They have another location, which has since closed, and the main location has had several employee cut backs. Additionally, the main location has reduced its five day week to three, with reduced hours included within that. This has all come about in recent months as the financial woes started to worsen.

The Federal Government Wants C.W. Williams To Remain Open

The health facility gets significant funding from the federal government, and several large grants from funds designed to help the homeless. Diorio is working to stop the latter form of financial help.

“We are aware of the bankruptcy filing, and the 20% of their budget with which we assist, will continue,” said Martin Kramer who is a spokesman for the federal Health Resources and Services Administration.

“Our main concern is that the health center be able to continue to provide primary care to their patient population.”

An optimistic Kramer added, “Other health care centers have gone through this process and have come out of it stronger.”