Office of the Attorney General News Release Archive

Friday, Nov. 8, 2002


Settlement with PhyMed Protects Mammography Records of 75,000 Patients

AUSTIN - Texas Attorney General John Cornyn today obtained a bankruptcy settlement with PhyMed Diagnostic Imaging Center (dba Hillcrest Inc.) and PhyMed Contracted Services Inc. that will result in the protection of mammography records of 75,000 patients in the Dallas/Fort Worth area.

"Without the built-in safeguards we secured, these private medical records would undoubtedly have been destroyed," said Attorney General Cornyn. "Fortunately, we were able to formulate a plan with the company to ensure that these vital records will be available to patients and their physicians for years to come. We agree with the court in reaching this settlement that it is in the best interests of the public health and welfare."

PhyMed Diagnostic and its imaging company that produced the mammograms, PhyMed Contracted Services Inc., filed for bankruptcy protection in August 2001 in Oklahoma City. Last April the bankruptcy was converted to a Chapter 7 liquidation proceeding, leaving the company without the resources to pay for storage and access to these records by patients and physicians.

The Attorney General's office negotiated the agreement on behalf of the Texas Department of Health's Bureau of Radiation Control, which licenses and regulates such businesses, the bankruptcy trustee and Texas Health Choice, whose members comprise most of PhyMed's patients. Under the plan, the records will be transferred to Iron Mountain Records Management Inc., a professional medical records custodian, until August 2006.

At the conclusion of this five-year period, Iron Mountain will destroy all of the files consistent with privacy regulations pertaining to medical records and TDH requirements.

Patients or their physicians wishing to obtain medical records and fee information should contact Iron Mountain by phone at 972/831-1520 or by mail at 10601 King William Drive, Dallas, Tex., 75220.

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