Alia Paavola – Wednesday, July 29th, 2020
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Henry Anesthesia Associates, an anesthesia practice in Stockbridge, Ga., refiled for Chapter 11 bankruptcy protection July 28, according to bankruptcy court documents obtained by The Atlanta Business Journal.
The anesthesia practice first filed for Chapter 11 bankruptcy in September. The bankruptcy court dismissed the case in June at its request so it could apply for a Paycheck Protection Program loan.
Small businesses with fewer than 500 employees are eligible to apply for PPP loans, but organizations in bankruptcy are not. The anesthesia practice was able to obtain money from the PPP loan, according to the court documents.
But Henry Anesthesia said that despite the PPP loan, it continues to struggle financially because of the COVID-19 pandemic.
According to the bankruptcy court documents, the anesthesia provider owes $1.6 million to Bank of America and $2.3 million to the IRS, among other debts.
Henry Anesthesia provides services for four Atlanta area hospitals, including Piedmont Henry Hospital, Atlanta Ambulatory Surgical Center and Regenerative Orthopaedics Surgery Center.
The practice has 26 full-time anesthesiologists and anesthetists, four support staff and nine workers available on call.
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