Consumers Affected
212,369
Connecticut filed a statement of interest in the bankruptcy of Prospect Medical Holdings, alleging years of mismanagement that harmed patients and led to a ransomware attack compromising the data of 212,369 residents. The state seeks to ensure a responsible transition of hospitals and hold Prospect accountable for its misconduct.
In-house legal teams should review contracts with healthcare providers to ensure robust data security and privacy clauses, particularly for health information. Include provisions for bankruptcy scenarios, timely vendor payments to prevent service disruptions, and compliance with healthcare and safety standards. Also, verify data breach notification requirements and response protocols.
Entity
Prospect Medical Holdings
Industry
HealthcareOfficial Press Release
https://portal.ct.gov/ag/press-releases/2025-press-releases/connecticut-files-statement-of-interest-in-prospect-medical-holdings-bankruptcy
527 statement by state of connecticut.pdf?rev=e7e18dd9ba1e4d
https://portal.ct.gov/-/media/ag/press_releases/2025/527-statement-by-state-of-connecticut.pdf?rev=e7e18dd9ba1e4d75b05115f04bfa8bd3&hash=1B46B60DBF0E8ED45A116F2B87407DB6
Connecticut Attorney General Enforcement Page
https://portal.ct.gov/AG/Privacy/Privacy-Resources
"Prospect Medical Holdings"
"On July 31, 2023, a threat actor gained access to Prospect’s IT systems, ultimately deploying a malicious ransomware code that locked Prospect out of its own systems and compromised the private data of 212,369 Connecticut residents."
"the Bankruptcy Code"
$29.6M
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$29.6M
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