O.C. BUSINESS PLUS : ORANGE COUNTY BRIEFLY : State Begins Process to Pull Greater Pacific’s License

The California Department of Corporations moved Thursday to revoke Irvine-based Greater Pacific HMO Inc.’s license, saying the health plan’s financial problems had become too severe to remain in business.

Greater Pacific notified its 2,400 enrollees--most of them Orange County residents--in August that it would terminate coverage effective Sept. 12. All but 17 have been placed with other health care plans, said Debra Denton, an attorney with the Department of Corporations’ health plan enforcement division.

The agency took control of Greater Pacific in June, after a financial review showed the HMO had more than $770,000 in debts and had lost $50,000 in May alone. Greater Pacific also had fallen behind on bills and payments to health care providers and patients.

The agency’s decision to pursue revoking the license came after a court-appointed conservator confirmed the severity of Greater Pacific’s troubles, Denton said.