Hospital Cited for Health Code Violations Shuts Down, Fires 300

Thompson Memorial Medical Center, recently cited by state inspectors for health code violations, abruptly closed its emergency room overnight Thursday, shut down its mental health unit and fired about 300 staff members.

The medical center, formerly called Burbank Community Hospital, was disqualified from the Medicare and Medi-Cal programs as of April 1. It will remain open with about 50 employees.

Three in-patients, who are not dependent on federal insurance, were still being treated there.

The hospital will continue to treat paying clients, but because about 80% of its patients depend on Medicare or Medi-Cal, disqualification will be financially devastating, said Jerry Gillman, president of the hospital.

Gillman met with reporters Thursday, claiming that the hospital had been “singled out,” by overzealous regulators after a bitter union fight.

“They didn’t give us a fair chance,” said Gillman. “They are throwing out the baby with the bathwater. It sickens me, to be honest with you.”

Gillman blamed the problems on disgruntled doctors and former employees who, he said, launched “a campaign to cause trouble” after a new management team took over the hospital.

Eight bedridden patients were transferred to other hospitals after federal officials told Thompson executives on Thursday that it no longer qualified for Medicare and Medi-Cal reimbursements.