VT Digger | August 25, 2016

Date: 
August 25, 2016

Lead investor makes case to regulators to buy Burlington Labs

A former IDX executive told health care regulators he’s ready to save an embattled drug testing company within a month but will walk away if they wait more than a month to issue a permit for the deal. ...

Jim Crook Jr. has been leading an investor group, with minority partnership from the University of Vermont Health Network, to acquire Burlington Labs, which collects and processes urine samples to check for opiates. It operates locations across Vermont and two in other states.

He made his case before the Green Mountain Care Board on Wednesday, seeking to use an emergency process to apply for a permit, called a certificate of need, to acquire the company, which Crook says is in danger of going under. The board approved the request for an emergency process unanimously in a voice vote after taking public comment. ...

At the hearing, Crook faced questions from reporters and health care advocates from Vermont Legal Aid about the alleged fraud. Gobeille, who generally intervenes during the public comment period at board meetings, answered many of the questions himself. ...

“The point is today’s matter is whether there should be an emergency (certificate of need),” Gobeille said. “We are not diving into what the AG is doing or what the issue is with Burlington Labs.”