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Jeff Thompson, the alleged financier of a $650,000 “shadow campaign” the feds say helped Mayor Vince Gray get elected, just lost control of his company to the administration he allegedly helped put into office.

The city today took over Chartered Health Plan, which for many years was a cash cow for Thompson, the company’s sole owner. Its books are so bad now that the city has seized the company to make sure that the 110,000 District residents who get their health coverage through Chartered will continue to be covered. Today the District Superior Court signed off on putting Chartered in receivership, a move Chartered’s board consented to earlier this week.

The move was necessitated after city officials cut off payments to Chartered because of alleged financial irregularities an internal audit turned up. Department of Health Care Finance Director Wayne Turnage says that after Chartered employees recently came to him with news of those irregularities, which city officials have so far declined to detail, he decided that the city would not be temporarily renewing its contract as earlier planned. Thompson has been trying to sell Chartered for several months. He’s also trying to unload its downtown headquarters, if you’re interested.

Screengrab courtesy of Charles Parsons