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N.Y. AG halts MEETH sale

Issue: November 1, 1999

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NEW YORK — State Attorney General Eliot Spitzer has filed a motion to block the sale of the assets of Manhattan Eye, Ear and Throat Hospital (MEETH) that was proposed by the hospital’s board of directors.

According to a press release from Mr. Spitzer’s office, the state attorney general “charged MEETH’s Board of Directors and Executive Director with breach of fiduciary duty and waste of charitable assets” and requested a preliminary injunction blocking the planned sale of the facilities.

The state supreme court will have the final say on whether the sale is appropriate to the charitable purposes listed in MEETH’s not-for-profit corporate charter.