Senate Committee Set to Decide on Contempt Vote for Steward Health Care CEO

BOSTON (AP) — As the Senate committee investigates the Steward Health Care bankruptcy, it has announced plans to adopt two significant resolutions next week targeting CEO Ralph de la Torre for contempt. This action follows de la Torre’s refusal to comply with a subpoena and attend a U.S. Senate hearing held on Thursday.

The resolutions, if approved, will proceed to a full Senate vote. The first resolution aims to authorize Senate legal counsel to pursue a civil suit compelling de la Torre to testify before the Senate Health, Education, Labor, and Pensions Committee. The second resolution would refer the matter to the U.S. Attorney for the District of Columbia, seeking criminal prosecution for de la Torre’s noncompliance.

“We were hopeful that Dr. de la Torre would comply with our bipartisan subpoena,” stated Vermont U.S. Senator Bernie Sanders, chair of the committee. He expressed disappointment over de la Torre’s absence, noting the importance of addressing the perceived harm Steward has inflicted on patients and healthcare workers.

In a written statement, Steward defended de la Torre’s absence from the hearing, citing ongoing bankruptcy proceedings and a federal court’s prohibition against discussing the matter. The statement emphasized that the committee overlooks a crucial settlement effort to keep Steward’s hospitals operational and preserve jobs, claiming de la Torre’s testimony could jeopardize these efforts.

Senator Sanders criticized the broader implications of Steward’s situation, arguing that de la Torre’s leadership exemplifies the adverse effects of private equity investment in healthcare. He accused de la Torre of amassing wealth while burdening hospitals with unsustainable debt and selling their assets.

Steward has attempted to divest several Massachusetts hospitals, facing inadequate offers for Carney Hospital and Nashoba Valley Medical Center, leading to their closures. A federal bankruptcy court recently authorized the sale of other facilities under Steward’s operation.

Under Steward management, allegations have surfaced regarding deteriorating patient care standards. Ellen MacInnis, a nurse from St. Elizabeth’s Medical Center, testified that understaffing in emergency departments has led to preventable patient harm, with cases reported where critical supplies were lacking due to financial mismanagement.

In one alarming incident, MacInnis recounted the death of an 81-year-old man awaiting chemotherapy treatment, highlighting the dire conditions faced by patients and staff alike. She revealed that nurses resorted to funding essential supplies out of their own pockets due to Steward’s failures to pay vendors.

These troubling accounts come amid reports that de la Torre has profited substantially during this period, purchasing luxury items such as a $40 million yacht and a $15 million fishing boat while significant service reductions have occurred in Steward facilities across several states, including Massachusetts and Florida.