Sen. Elizabeth Warren has called Corizon's use of the Two-Step "an alarming red flag." Sylvia Jarrus for InsiderCorizon Health rebranded as Tehum Care Services last year and filed for bankruptcy in February. The other company, Corizon, later rebranded as Tehum, received most of the parent company's liabilities — and then declared bankruptcy. Warren is "actively looking" into the Corizon Two-Step, Sarabia confirmed last week, before the settlement was announced. US Bankruptcy Court, Southern District of TexasSome creditors have worried for months that the company would reach a settlement on unfavorable terms.

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Persons: Elizabeth Warren, Isaac Lefkowitz, Sen, William Kelly, Sylvia Jarrus, Tehum, Tracey Grissom, Hector Garcia, Corizon, Christopher Lopez, Aaron Kaufman, Kaufman, YesCare, Alex Sarabia, Warren, Sarabia, Warren's, it's, Dick Durbin, Johnson, Durbin, Judge Lopez, Nick Zluticky, Lopez, Zluticky Organizations: Corizon Health, Health, Corizon, Tehum Care, Alabama, US, Southern, Southern District of Texas, Alabama Department of Corrections, Court, Tehum, Committee Locations: Sen, Texas, Saginaw , Michigan, Michigan, New Mexico, Tehum, Southern District, Corizon's Texas, Delaware