, who died after being under Corizon's care for only a few days in New Mexico. William Kelly, of Saginaw, Michigan, has kidney cancer that progressed to stage 4 while he was under the care of Corizon Health in Michigan prisons. He's one of at least 475 people with active suits against Corizon claiming negligent care.In total, Tehum has reported $176 million in unsecured debt it seeks to resolve with the settlement.
Kaufman declined to provide any details about the settlement in court, saying they would be shared in the coming weeks when Tehum files a detailed liquidation plan. He also declined to comment on the record to Insider., the settlement is the end game in Corizon's Texas Two-Step, a controversial legal maneuver the company employed to wall off most of its assets from these claims.
The other company, Corizon, later rebranded as Tehum, received most of the parent company's liabilities — and then declared bankruptcy. In court, Kaufman, the Tehum attorney, blamed Insider's reporting for the company's decision to to keep the details of the settlement secret. During the hearing last Friday, Kaufman proposed a rough timeline, suggesting that Tehum and attorneys representing the unsecured creditors committee would jointly submit a detailed liquidation plan, as well as a proposed information package describing the plan, in late September.
Many plaintiffs in the malpractice suits, however, are still in prison and don't have timely access to correspondence.