Integrated Healthcare Holdings, Santa Ana, Calif., said it has settled all litigation between the company and one of its major shareholders, Orange County Physicians Investment Network, or OCPIN. OCPIN will receive $2.7 million to cover all attorneys fees and other costs, said Dan Callahan, one of OCPINs lawyers. Integrated is joined by other parties to the lawsuits in paying the settlement, according to an Integrated spokesman. Bruce Mogel, former president and CEO of Integrated and now a consultant to the company, was also one of the parties among the raft of lawsuitsnumbering as many as 10 pieces of litigation, according to Callahan. None of the parties admitted to any wrongdoing in the settlement.
Integrated Healthcare settles shareholder litigation
The lawsuits revolved around major disputes between Mogel and Anil Shah, the physician who heads OCPIN, over the operations and financing of Integrated.
As part of the settlement, OCPIN will have the opportunity to buy more shares in the company, although not enough to regain its status as majority shareholder, Callahan said. OCPIN also won the right to name a director to Integrateds board, and the physician investors chose Callahan, he said.
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