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Two Health IT Vendors Shifting at the Top

August 21, 2014
by Gabriel Perna
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M*Modal’s CEO Duncan James is on his way out and Surescripts has hired Tom Skelton, an industry veteran, to be their new one.

M*Modal ‘s James is out after a tumultuous year for the Franklin, Tenn.-based provider medical transcription and clinical documentation software. In March, M*Modal filed for Chapter 11 bankruptcy with a reported $500 million and $1 billion in both liabilities and assets. A few months later the company emerged from Chapter 11 and was able to reduce its debt by more than 55 percent.

James made the decision to leave M*Modal after helping get it out of debt, the company said in a press release. The company announced a new executive committee including new board member Michael O’Boyle, former President and CEO of Parallon Business Solutions and former Chief Operating Officer of Cleveland Clinic and  Jeffrey Goldberg, Chair of the Board at M*Modal. Senior members of M*Modal will report to these two until a replacement is made.

M*Modal also announced new Board members that include O’Boyle;  William Allen, Chairman of the Board of Managers for Werner International; Eugene Davis, Chairman and CEO of PIRINATE Consulting Group and member of multiple Boards; and Jeffrey Goldberg, Chair of the Board of Physiotherapy Associates and co-Chair of the Board of Angiotech/Surgical Specialties Corporation.

“I am very proud of M*Modal’s accomplishments,” James said in a statement. “The company emerged from the restructuring process with a strong financial foundation and poised to extend its leadership position in clinical documentation and Speech Understanding.”

Surescripts named Skelton its CEO this past week. Skelton worked at Foundation Radiology Group, MED3000, and Misys Healthcare Systems before coming to Surescripts. Skelton will start next week as the CEO of the Arlington, Va.-based provider of an ePrescribing network. He replaces Harry Totonis, who stepped down in January of this year after five years on the job.

“The progress Surescripts has made in recent years is a clear indication of the strength of its relationships with pharmacies, providers, payers, pharmacy benefit managers, retail clinics, health information exchanges and many others,” Skelton said in a statement. “Surescripts is well positioned for continued success as we work collaboratively with our customers to navigate the complex and evolving landscape of American healthcare.”

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