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HRC Medical Owners Raise Due Process Concerns - John Dunn

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NASHVILLE, Tenn. -- The owners of an embattled hormone clinic say they are essentially broke, and now they are raising concerns about due process. HRC Medical Center has been shut down, and its assets are under a third party's control. HRC's owners say every person in Tennessee should be concerned. 

The allegations against HRC Medical Center and its owners are numerous. The state's complaint is more than 300 pages. The complaint outlines false advertising, not disclosing hormone treatment side effects, and making unlawful money transfers. "If you're in business, you're going to make mistakes. I guarantee you every businessman can say that, but we ran an excellent business," says Don Hale.

Don Hale was the President and CEO of HRC. His clinics have been shut down and his personal and business assets are in receivership, which means they are under a third party's control. "Every businessman in Tennessee needs to understand what these people can do," says Don Hale.

Hale and his brother, Dr. Dan Hale, say there has never been a trial in this case, and they wonder why a judge agreed to receivership. "No jury, no trial, your guilty, we're going to take everything and sell it, and then we're going to use that money to prosecute you," says Don Hale.

"If there is not a law, I think there should be some law, or some place that says my goodness that's just not American," says Dr. Dan Hale.

State prosecutors say they want to preserve HRC's assets to offer customer refunds. In a statement the Attorney General's office says, "Under the law, assets may be frozen upon a proper showing of unlawful asset transfers."

The Hale's say they look forward to cross examining witnesses and disputing the allegations in court, even if their money is frozen. "We had a good  business, and right now we are broke," says Dr. Dan Hale.

The Hales aren't likely to get their day in court anytime soon. The next hearing in this case is two months from now.  A trial date could be far in the future.

The Attorney General's office says a judge only placed the assets into receivership after reviewing 24 exhibits and listening to hours of argument about unlawful money transfers made by the Hales and HRC Medical.

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