United States

Lesser Payment Approved for El Paso Children's Hospital

A bankruptcy judge says El Paso Children's Hospital must pay a consultant $686,000 for several months of work while other fees are disputed.

The El Paso Times reported Tuesday that U.S. Bankruptcy Judge Christopher Mott of Austin decided partial payment is important.

Mott on Dec. 8 approved a plan for El Paso Children's Hospital to emerge from Chapter 11 reorganization.

The dispute involves whether AlixPartners should be paid for work between May 19, when the bankruptcy petition was filed, and Sept. 30. Hospital officials say AlixPartners, which ran the hospital from February until earlier this month, provided invaluable services.

El Paso County alleges AlixPartners mismanaged the hospital and sought to have nearly $800,000 in fees rejected.

A partial payment agreement was reached Monday. A final fee application remains pending.

Copyright AP - Associated Press
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