West Suburban Medical Center: Upcoming ruling could determine future of shuttered hospital, Resilience Healthcare CEO accusations

A heated legal battle is underway regarding the future of West Suburban Medical Center, as discussions intensify about whether an independent entity should assume control to halt its financial decline and potentially revive the facility following its unexpected shutdown in March.

During a court session on Friday, a judge clarified that accusations suggesting state loans amounting to tens of millions of dollars were siphoned into a personal account were baseless.

ABC7 Chicago is now streaming 24/7. Click here to watch

The hospital’s parent company, Resilience Healthcare, is jointly owned by Reddy Rathnacker Patlola and Manoj Prasad. This company also owns Weiss Memorial and West Suburban, both of which have ceased operations.

Prior to its sudden closure on March 25, West Suburban Medical Center was a significant employer with over 700 staff members and catered to the healthcare needs of tens of thousands of patients annually.

Legal representatives for Patlola are urging a Cook County judge to remove Manoj Prasad from his role as CEO of Resilience Healthcare. They propose appointing a third party to manage the hospital’s reopening, as it currently faces substantial debts, including unpaid bills, property taxes, and rent.

However, Prasad’s legal team argues that Patlola lacks the authority to make such a request. They assert that Prasad is capable of resolving the billing issues that allegedly led to the hospital’s closure.

“The hospital has been closed more than several months. A lot of the staff has had to get jobs. We’re fighting. I’d like to see a receivership with a independent third party so they can make a determination what the community needs are, because that community is, again, being failed by not just the two owners, but also by the state,” former West Suburban doctor, Dr. Vishnu Chundi, told the I-Team.

Accusations from Patlola’s attorneys that Prasad transferred tens of millions of dollars in state loans into a private account were not proven in court.

A “special master” was appointed to examine financial documents, finding the majority of the $35 million in state loans was used for hospital purposes.

However, Patlola’s attorney claims $2.2-million dollars was found to be transferred from an account Prasad owned to one owned by his daughter.

The I-Team previously reported investigations by state authorities into Resilience Healthcare are underway.

Patlola’s attorney told the court it’s been nearly 10 months since Weiss Memorial closed and it is no closer to reopening, and its hospital licenses are set to expire in a matter of months. He said the same is true of West Suburban.

Community members and faith leaders held a news conference this week pleading for the state to step in to reopen the embattled hospital.

“We’re all here today because this issue can no longer be ignored. For many in our community, this hospital was more than a medical facility. It was a lifeline,” said Pastor Lajuan Whitfield, New Life Holiness Church.

The judge is expected to rule Monday on whether West Suburban stays under the control of its CEO Manoj Prasad. Though it is now closed, money is still coming in. Attorneys told the court West Suburban is still receiving hundreds of thousands of dollars a week for procedures that occurred before it shut down.

Copyright © 2026 WLS-TV. All Rights Reserved.

Leave a Reply

Your email address will not be published. Required fields are marked *

You May Also Like

Ex-cop accused of killing jogger went to work with kids at NYC school after slaying — and previously killed family pet: sources

Ex-NYC Cop Accused of Killing Jogger Worked at School After Slaying

The former NYPD officer accused of killing a Brooklyn jogger returned to…
Manhunt underway for armed suspects after shooting at California university dorm

Manhunt Underway After Armed Suspects Shoot at California University Dormitory

Authorities are searching for six suspects following a late-night shooting inside a…
Trump says 'I was only kidding' with press secretary job offer to UFC boss Dana White

Trump Says He Was ‘Only Kidding’ About UFC Boss Dana White Press Job

Dana White for press secretary? Not so fast. President Trump told reporters…
DoorDash driver missing for 2 weeks after final delivery

DoorDash Driver Missing for Two Weeks After Final Delivery

A Pennsylvania father of two who had recently lost his job and…
Cockpit recorder capturing doomed Learjet crew's final moments recovered

Cockpit Recorder From Doomed Learjet Captures Crew’s Final Moments

A cockpit voice recorder that may contain the Learjet crew’s final moments…
UFO documentary pulls back curtain on ‘psychological operation’ after decades of government cover-up: expert

Trump Says Air Force Pilots Saw Round UFO Flying Three Times Faster Than an F-22

Former intelligence official examines government investigations into UAPs Retired Defense Intelligence senior…
Tennessee's lethal drug supplier fears retaliation after Christa Pike’s botched execution: court docs

Tennessee Lethal-Injection Drug Supplier Fears Retaliation After Christa Pike’s Botched Execution, Court Records Show

Tennessee prison officials are urging a judge to conceal the identities of…
This 2014 image provided by NASA shows a Taurid fireball recorded at the NASA All Sky Fireball Network station in Tullahoma, Tenn. (NASA via AP)

Taurid Meteor Shower May Bring Bright Shooting Stars This Week

The Northern Taurid meteor shower is set to reach its peak by…
Ex-Trump admin official Calley Means wildly suggests Susie Wiles ‘has the capacity to inflict physical harm’

Ex-Trump Official Calley Means Says Susie Wiles ‘Has the Capacity to Inflict Physical Harm’

Calley Means, a former senior adviser to Health Secretary Robert F. Kennedy…
Explosion at steel plant in western Turkey leaves 10 dead, 4 missing

Turkey Steel Plant Explosion Kills 10, Leaves 4 Missing

ISTANBUL — A powerful explosion followed by a fire at an iron…
Massie introduces impeachment articles against Hegseth, teeing up vote this week

Rep. Thomas Massie Files Impeachment Articles Against Hegseth

Washington — Rep. Thomas Massie on Monday filed articles of impeachment against…
DSA admits it's too white as it mulls 'anti-oppression' force

Democratic Socialists of America Says It’s Too White, Weighs Anti-Oppression Task Force

Something is not adding up for the city’s Democratic Socialists of America.…