10/06/2023
To Our Beloved Colleagues, Valued Patients, and the Esteemed Phnom Penh Community we serve:
I am the Chairman of the Center of Hope Friendship Clinics.
Endeavor for SEA Health Holdings, LLC, a proud American company dedicated to providing affordable quality healthcare to the residents of Cambodia, is the sole shareholder of the Center of Hope Friendship Clinics Co., Ltd, the Cambodian company owning our clinics, and the proud employer for our almost 250 employees.
Today I bring you a message filled with deep regret and heartfelt sorrow.
After a month of our clinics being shuttered, I regret to inform you that we are unable to remain open. We do not see any option for our clinics to reopen in the near future.
This fills us with deep concern, for we are acutely aware of the problems the closure of our clinics is causing our patients and employees.
It is with a very heavy heart that I must recommend that our patients seek care from other providers until we are able to resume our services. This sadness also extends to my beloved colleagues who work tirelessly to provide excellent care to you, our patients.
Our employees have unfortunately lost their jobs, and due to unforeseen circumstances beyond our control, our company bank accounts have been frozen, along with those of some of our senior staff and their children. This denies our employees their rightfully earned pay-outs under the Labor Law, as our company has no access to or control over the company funds - leaving us without a method of making any payments.
We are just in shock and confused as many of you are, though we are unable to provide all the answers.
Company Deregistration
In the last week of May, the authorities informed us that our company had been temporarily deregistered for the authorities to continue their inspection and audit of our company.
When a company is deregistered, it means the company is taken off the list of businesses approved to do business in Cambodia. We, therefore, are unable to do business, employ staff, make payments, file tax reports, defend ourselves against audits and inspections, or meet our outstanding financial and legal obligations.
We are asking for clarification and are waiting for their response, as the referenced laws do not provide us with the reasoning for the deregistration – meaning we are unable to make changes to reach compliance.
The Decision to Furlough Staff
In late May, due to the uncertainty of the future of our clinics, I made the heartbreaking decision to furlough our staff for a few weeks in compliance with Cambodian law. We are hoping to resolve our legal issues, so that we can open our clinics, employ and pay our staff, and continue to provide quality healthcare to those with less means.
Understandably many of our staff requested pay-outs in line with the Labor Law, which we publicly announced that we would do.
Frozen Bank Accounts
Shortly after our announcement, we received information that our bank accounts were subject to a court order to freeze them - preventing us from making any further payments.
Our staff have, unfortunately, lost their jobs, and due to circumstances beyond our control, including our bank accounts suddenly being frozen, have been denied their rightfully earned payments.
Final Words from the Chairman
Our sadness extends to the thousands of patients we care for and our dedicated staff, who have worked tirelessly to provide excellent and compassionate care.
We are doing everything we can to restore the clinics that have provided so much to Cambodia since its founding in 2007 by HOPE Worldwide. We appreciate your support.
Sincerely yours,
Bartow David Daniel III
Center of Hope Friendship Clinics
June 11, 2023
