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"The situation in the hospital was much worse than I expected in March," said the minister, adding that the situation has been improving. The hospital's annual report could not be trusted as entries lacked documentation, the inventory was flawed, and there were other problems.

Those responsible for accounting in the hospital have by now quit, and new accountants have been employed. "Stradins Hospital is currently being set in order," the minister stressed.

As reported, the Health Ministry's State Secretary Solvita Zvidrina told LETA in March that Stradins Hospital was showing signs of insolvency.

In 2007, the hospital took out a loan of EUR 66,021,000, the loan was underwritten by the government. The hospital is to return the money to the lender, FMS Wertmanagement AOR, by 2042.