Prisoner Plaintiffs Get Committee in Medical Provider Bankruptcy

The Justice Department’s bankruptcy oversight program—the US Trustee—appointed an official committee to represent claimants suing a large prison healthcare provider for medical malpractice, amplifying their role in mediated negotiations.

The US Trustee on Monday announced the formation of a six-member tort claimants’ committee in the Chapter 11 case for Tehum Care Services Inc., a shell company created by Corizon Health Inc. to resolve hundreds of personal injury suits. The tort committee will work alongside a previously-appointed committee of unsecured creditors in Tehum’s case, which is being heard in the US Bankruptcy Court for the Southern District of Texas. By law, ...