Hidden investors took over Corizon Health, a leading prison healthcare company. Then they deployed the Texas Two-Step.

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Corizon Health, facing mounting debt, executed a controversial bankruptcy maneuver. Hundreds of prisoner's medical malpractice claims were left in limbo.

saying she attempted suicide after Corizon providers in an Idaho prison denied her gender-affirming care. William Kelly, one of Cross' clients, struggles with constant pain from kidney cancer that progressed from stage 1 to stage 4 while he was incarcerated in Michigan prisons., Corizon failed to provide appropriate treatment. "I was deteriorating fast and I was really weak. I knew something was wrong, was extremely wrong with me," Kelly told Insider.

For two hours that day, Garcia sat down over pizza with Hector Jr. and his younger brother Ricky as he apologized for his years of addiction and the ways it had disrupted their lives. When Hector Jr. dropped his dad at his grandma's house that evening, Garcia said that he loved him.When Garcia's family heard that he was back, three weeks later, at the Doña Ana County Detention Center, they didn't think much of it.

Just six months before the Garcia family was scheduled to have their day in court, Corizon filed for bankruptcy. Their lawsuit, along with hundreds of others, was indefinitely stayed.Healthcare in correctional institutions began to be widely outsourced and privatized in the. In recent years the field has been dominated by a few major firms, Corizon among them. Founded in 1978 as Prison Health Services, Inc.

Once registered in Texas, Tirschwell and the new owners split the company in two. One company, called Tehum Care Services, Inc., they saddled with liabilities and eventually filed into bankruptcy. The other, called CHS TX, Inc., got the old Corizon's C-suite and more than $300 million in public contracts. It would conduct business under the name YesCare.

A June 2022 email from YesCare to an Okaloosa County corrections official mentions Corizon's new ownership but refers to it as a"name change" and a rebrand.At one point, Okaloosa officials expressed confusion. The name "YesCare" didn't show up in the state's online business portal — an indication that it wasn't registered to do business in Florida.

Insider obtained contracts or correspondence from 19 county and state agencies with an active Corizon contract that moved over to YesCare. At least four contracts, all in Florida, specify that the agency can immediately terminate if the company files for bankruptcy.

 

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