(WSJ) One of the Biggest Hospital Failures in Decades Raises Concerns for Patient Care

Hospitals in eight states are at risk of running out of cash after their owner filed for bankruptcy, potentially pitting the chain’s creditors against regulators, who raced to address concerns about safety.

Steward Health Care System became one of the largest hospital bankruptcies in decades when it filed for chapter 11 early Monday. The chain, which operates 30 hospitals, has been in dire financial straits for months, failing to pay bills and burning through emergency loans.

State regulators are worried about Steward, whose physicians provide care for 2.2 million patients a year. In one Steward hospital, bats prompted the evacuation of an intensive-care unit. At others, traveling nurses left after not being paid, and executives have swapped equipment to fill gaps.

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