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- Case filing & court posture: The Villages Health System, LLC filed chapter 11 on July 3, 2025, in the U.S. Bankruptcy Court for the Middle District of Florida (Case No. 6:25-bk-04156-LVV) before Judge Lori V. Vaughan. Dkt. 1 The debtor operated 10 primary and specialty care centers serving Medicare Advantage patients in North Central Florida, employing over 800 staff and 80+ physicians. - Liquidity & financing path: At filing, the debtor held a $15 million prepetition secured credit line from PMA Lender LLC. Dkt. 60 On July 11, 2025, the Court approved interim postpetition financing of up to $46 million from PMA Lender, including $24 million in new money at 12% fixed interest. The debtor filed for bankruptcy after discovering HCC coding issues in August 2024 that created potential Medicare overpayments estimated at $350 million or more, and made a voluntary self-disclosure to the OIG in December 2024. - Asset sale & restructuring outcome: The Court approved bidding procedures on July 28, 2025, Dkt. 110 and on September 9, 2025, entered an order approving the sale of substantially all…
Updated May 13, 2026
Certificate of Service Re: Order Approving Disclosure Statement on a Final Basis and Confirming Chapter 11 Plan of Liquidation of The Villages Health System, LLC (Docket No. 555). Filed by Other Prof. Stretto, Inc. (related document(s)[555]). (Stretto (JD))
Docket 564 · Aug 28, 2026
Supplemental Certificate of Service Re: Notice of Filing First Modification to the Amended Plan of Liquidation (Docket No. 529), Notice of Filing Plan Supplement (Docket No. 530), and Debtors First Omnibus Objection to Claims That Have Been Fully Satisfied (Docket No. 532). Filed by Other Prof. Stretto, Inc. (related document(s)[529], [530], [532]). (Stretto (JD))
Docket 563 · Aug 27, 2026
Certificate of Service Re: Order Granting Motion to Approve Settlement Agreement by and Among (1) the Debtor, (2) PMA Lender LLC, (3) The Villages Health Holding Company, LLC, and (4) Certain Related Parties (Docket No. 556), Order Granting Motion to Approve Settlement Agreement by and Between the Debtor and Florida Blue (Docket No. 557), Order Granting Motion to Approve Settlement Agreement by and Between the Debtor and UnitedHealthcare Insurance Company and UnitedHealthcare of Florida, Inc. (Docket No. 558), and Order Granting Motion to Approve Settlement Agreement by and Between the Debtor and the United States (Docket No. 559). Filed by Other Prof. Stretto, Inc. (related document(s)559, 557, 558, 556). (Stretto (JD))
Docket 562 · Aug 26, 2026
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