(Valley News Live) – Seven affiliated Grand Forks health care and business entities filed separate Chapter 11 bankruptcy petitions Oct. 16 in the U.S. Bankruptcy Court for the District of North Dakota.
The filings were all entered within 26 minutes of each other.
The entities are:
- Kidney and Hypertension Center, PLC, doing business as Grand Forks Clinic
- The Medical Group, LLC
- North Dakota Dialysis, LLC
- Aurora Dialysis, LLC
- Kidney Institute of North Dakota, LLC
- KDJ Investment Group, LLC
- KDJ Properties, LLC
The petitions repeatedly identify the other companies as affiliates. The filings also list Dr. Khaled Rabadi as the owner or authorized representative of each entity.
All seven petitions were filed under Chapter 11. The health care-related entities identify their businesses under the health care category on the bankruptcy petition. Each filing lists Dr. Rabadi as the authorized representative, with an execution date of Oct. 16.
On VNL’s Facebook post for this story, Dr. Rabadi said the clinic and all affiliated entities will remain open and continue to operate as usual. He also said they are continuing to accept new patients and provide all services without interruption.
Major unsecured claims
The largest list of unsecured claims appears in the filings for the Kidney and Hypertension Center and The Medical Group. Those two filings contain the same creditor names and amounts, with listed claims totaling approximately $1.74 million in each case.
The same two filings also list debts to Blue Cross Blue Shield of North Dakota, Siemens Medical Solutions, Eide Bailly, Hanover Insurance, Nodak Electric Cooperative, and other businesses.
Aurora Dialysis lists approximately $407,000 in unsecured claims among its largest creditors.
The Kidney Institute of North Dakota lists approximately $151,000 in unsecured claims, including $101,000 owed to Credibly, $33,474 owed to Vantive US Healthcare, $8,160 owed to U.S. Bank and $7,362.42 owed to ASD Healthcare.
North Dakota Dialysis lists two unsecured claims: $257,000 owed to Daniel Mulroy and $19,000 owed to Daniel Hodgson.
KDJ Investment Group lists a $2,500 claim from Grand Forks Utility Billing. KDJ Properties lists no unsecured creditors among its 20 largest claims.
What the filings show
The petitions show a coordinated bankruptcy filing involving a network of kidney-care, dialysis, medical, investment, and property-related entities.
The bankruptcy petitions list North Dakota Dialysis, LLC as an entity owning at least 10% of the equity in both Aurora Dialysis and the Kidney Institute of North Dakota. The other ownership statements reviewed either list no reportable ownership interests or state that no entities are required to be reported.
The cases were filed in the District of North Dakota because the companies list Grand Forks as their principal place of business or location of principal assets.
FOLLOW US FOR INSTANT UPDATES!
