IRVING, N.Y. (WIVB) – Lake Shore Hospital and its related services have filed for Chapter 11 bankruptcy reorganization.
Attorney Barry Covert, representing potential buyer Tony Borrello, says the filing occurred at 3:45 p.m. on Monday.
Borrello’s bid of up to $15 million for the hospital has still not been accepted by the board overseeing the health care center in Irving.
Covert says, “This is a very positive step towards my client’s being able to purchase the facility. It allows the operation to continue while we conduct our due diligence review of the books and what is now provided for at the hospital.”
He says there will also be a review of cash flow and short and long term financial needs, if any.
The hospital and the center’s various health services were due to close in mid-January.