A Hinds County Chancery judge has ordered the Mississippi Division of Medicaid to temporarily stop collecting debt from Greenwood Leflore Hospital. The order comes after the hospital argued that resuming recoupments could lead to its closure, according to court documents.
Judge J. Dewayne Thomas’s order requires the state to pause the recoupments while the hospital’s legal case proceeds. The hospital must post a $50,000 cash bond within 30 days to keep the order in effect, court officials said.
The dispute centers on a state program intended to help struggling hospitals by providing supplemental funding. Greenwood Leflore received an initial boost from the program, but payments were later recalculated based on updated patient volume data. The recalculations reflected a decline in patient numbers after the hospital closed its labor and delivery and intensive care units in 2022…