DEMSI, Gadsden/Etowah EMS & Owner File for Bankruptcy

Posted on: 5:32 pm, February 26, 2014, by and , updated on: 09:25am, February 27, 2014

DECATUR, Ala. (WHNT) – Decatur EMS Inc., better known as DEMSI, one of two ambulance services operating in Decatur, filed for bankruptcy Tuesday. In three separate filings, DEMSI, Gadsden/Etowah EMS, and Dr. Roger Stanmore, who owns both companies, all filed for bankruptcy.

The move comes just four days after a DEMSI spokesperson told the Decatur EMS Committee that the company’s financial problems had been resolved and pleaded for their city license to not be revoked. The committee voted 3 to 2 to revoke the company’s certificate to operate, sending the matter to the Decatur City Council for a final decision.  The council is scheduled to take up the matter next week.

DEMSI employees walked off the job Feb. 7 citing late and bounced paychecks. Several DEMSI employees, along with employees of Gadsden/Etowah EMS have contacted WHNT News 19 in recent months requesting coverage of the ongoing problem.

Gadsden/Etowah EMS employees also walked off the job on February 21 citing late paychecks.

DEMSI spokesperson Tessa Green, responding to allegations the company was in violation of the city’s ambulance ordinance regarding the number of vehicles and crew available for emergency calls and the time their ambulances took to respond to calls, told members of the Decatur EMS Committee last week the company has had some financial problems. She said company officials overlooked the renewal of an agreement with Medicaid, which she described as the company’s primary source of revenue. Green told committee members the Medicaid agreement is now in place.

When contacted late Wednesday afternoon, Morgan County 911 Director Ryan Welty told WHNT News 19 DEMSI has been in violation of the city’s ambulance ordinance since Feb. 7. Welty says DEMSI currently has one ambulance in operation.

Officials with Decatur’s other ambulance service, First Response, say they have added extra vehicles and crews in order to meet the city’s need. David Childers says his company has also hired several former DEMSI employees saying, “These are good people who were simply caught in a bad situation.”

13 comments

  • Rex Anderson says:

    Sounds like this EMS company put all their eggs in one basket (primary source of income) – i.e. Medicaid, which possibly led to other financial problems. Bankruptcy does have it’s advantages, but in this case, the company lost good people and it had to close it’s doors.

    • Anonymous says:

      Medicaid “issues” is the excuse they gave, but NOT the REAL problem. This has been going on for a VERY long time with this owner, and NOT only with this company. Of course, the receptionists, nurses, and doctors that didn’t get paid in the clinics he USED to own heard many “excuses” as well when their paychecks bounced, checks were late, or NEVER got paid at all. Many of them are still owed a lot of money. Pretty sad. Feel bad for all of these workers.

  • AR says:

    This has been going on for YEARS! Stanmore owns Urgent Medcare (where I formerly worked) and our paychecks always bounced. He is an arrogant pathetic excuse for a doctor, who only cares about money. Looks like karma finally caught up with him.

    • Anonymous says:

      Correction…as of March 2013, NEW management took over Urgent MedCare. Dr.Stanmore has NO connection to the clinic anymore.

    • Harley says:

      he was ALWAYS playing fast and loose with money! we never knew when we got our pay checks if they were good until we went to the bank! I worked for this “person” for 8 years and I can honestly say that he was the devil in descuise!

  • Santiago says:

    Pathetic!

  • Tony says:

    Was wandering when this was going to happen. Is he a Dr first and a lawyer second or the other way around. I use to work under him and there was SO much stuff going on down town, it made me wonder if it was legal.

    • Stone Thrower says:

      Tony,
      Worry about your own issues, like popping pills and drinking all the time (especially while on the job). Are you still unemployeed because of your habit? Have you wrecked anymore company vehicles? Watch out for that “deer” named Vodka or you might end up in the ditch again.

    • My Two Cents says:

      This can’t be the Tony that has two DUI charges talking about things being illegal. Last time I check driving drunk was illegal too! I think it is pretty pathic that you have to comment on every article about how awful the owner is and how much you know about what goes on “downtown”. No one cares what you think! DEMS has dedicated hard working employees who are not getting paid and can’t feed their families because of their employer! Something they can’t control and they don’t abuse drugs and drive drunk so don’t act like you have anything in common with them! Go crawl back under the rock you came from!

      I hope all DEMS employees can move onward and upward in life. God Bless!

      • Tony says:

        FYI I have no DUI’s on my driving record. To Dr Stanmore, I want to publicly apologize for wrecking your van. Also, I let you and the other employees down when I quit on so short of a notice. The ladies “downtown” I shouldn’t have brought y’all up.
        The next time I make a comment/statement, I will hide behind some anonymous name instead of my real name.
        Sincerely,
        Tony

  • TP says:

    I can say that it is a wonderful thing that First Response is doing, taking care of those employees of DEMSI with an immediate job and helping them out as best they can. Good job David Childers and Jason Tindal for giving them the opportunity to better their situations without prejudice because they worked for the opposing team. They deserved better and what happened has nothing to do with them. Y’all made it not about business, but about people needing work to take care of their families. They have seriously stepped up to the plate with this happening, purchasing more trucks and covering the city just as well with one service as it was being done with two.

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