Ralph de la Torre, CEO of Dallas-based Steward Health Care, who was held in contempt of Congress for refusing to testify about the company’s bankruptcy, is leaving the company struggling. A spokesperson confirmed the news with a statement emailed to NewsCenter 5. He will cease serving as CEO and chairman of the board effective October 1. “While Dr. de la Torre has amicably parted ways with Steward on mutually acceptable terms, he will continue to be a tireless advocate for improving reimbursement rates. for the underprivileged patient population, Dr. de la Torre urges continued focus on this mission and believes Steward’s financial challenges shine a much-needed spotlight on Massachusetts’ continued failure to fix its healthcare structure and the inequities in its system state,” the statement said. Prior to founding Steward with support from Cerberus Capital Management, de la Torre was CEO of Boston-based Caritas Christi Health Care. Previously, he was also a cardiac surgeon at Beth Israel Deaconess Medical Center. The contempt vote against de la Torre last week was the first time since 1971 that an individual has faced such charges from the Senate, which allows the Justice Department to take over the case and pursue criminal prosecution. to fines, criminal prosecution and potential prison time. Earlier this month, de la Torre was absent from a Senate Health, Education, Labor and Pensions Committee hearing into the bankruptcy of his company, which operated several Massachusetts hospitals. De la Torre was first summoned in July, but issued repeated statements saying he would not appear at the hearing. His lawyers sent a letter to the Senate Health, Education, Labor and Pensions Committee, invoking the Fifth Amendment for his right not to testify. “Dr. de la Torre cannot be permitted to testify under oath at this time, given that the Hearing was apparently designed as a vehicle to violate Dr. de la Torre’s constitutional rights, including his Fifth Amendment rights,” the letter said. “If the Committee had any concerns about the hospitals affected by the Steward bankruptcy process, it would, in accordance with Dr. de la Torre’s request to postpone the hearing to a more appropriate time, allow the bankruptcy resolution to move forward and focus its actions in combating legitimate problems. issues in the best interest of Steward’s patients, hospitals and communities.”Video below: de la Torre disregarded Congress’ Massachusetts Senator Ed Markey, a committee member whose office recently released a report blaming the Steward crisis for “corporate greed”, claimed that the company cared more about profits than patients. His report alleges that hospitals under Steward’s management were “destroyed” in pursuit of maximum profits, while patients suffered from prolonged emergency waiting times, deteriorated facilities and higher death rates. Steward filed for Chapter 11 bankruptcy protection on May 6.Gov. Maura Healey on Friday formally seized St. Elizabeth’s Medical Center in Boston through eminent domain to keep the hospital open. Previously, a bankruptcy judge approved the sale of Steward’s six remaining hospitals in Massachusetts. The judge said Steward and the creditors still need to resolve some differences, which we hope will be done by the end of the month. Carney Hospital and Nashoba Valley Medical Center closed in late August after Steward found no qualified bidders. The future of Norwood Hospital, which was under construction, remains uncertain.
Dr. Ralph de la Torre, CEO of Dallas-based Steward Health Care, who was charged with contempt of Congress for refusing to testify about the company’s bankruptcy, is leaving the company struggling.
A spokesperson confirmed the news with a statement emailed to NewsCenter 5.
He will cease to serve as CEO and chairman of the board effective October 1.
“Although Dr. de la Torre has amicably parted ways with Steward on mutually acceptable terms, he will continue to be a tireless advocate for improving reimbursement rates for the underserved patient population. Dr. de la Torre urges continued focus on this mission and believes Steward’s financial challenges highlight Massachusetts’ ongoing failure to correct its health care structure and the inequities in its state system,” the statement said.
Before founding Steward with support from Cerberus Capital Management, de la Torre was CEO of Boston-based Caritas Christi Health Care. Previously, he was also a cardiac surgeon at Beth Israel Deaconess Medical Center.
The contempt vote against de la Torre last week was the first time since 1971 that an individual faced such charges from the Senate, allowing the Justice Department to take over the case and pursue criminal prosecution. Voting affirmatively can lead to fines, criminal prosecution and potential prison time.
Earlier this month, de la Torre was absent from a Senate Health, Education, Labor and Pensions Committee hearing into the bankruptcy of his company, which operated several Massachusetts hospitals.
De la Torre was first summoned in July, but issued repeated statements saying he would not appear at the hearing.
His lawyers sent a letter to the Senate Health, Education, Labor and Pensions Committee, invoking the Fifth Amendment for his right not to testify.
“Dr. de la Torre cannot be permitted to testify under oath at this time, given that the Hearing was apparently designed as a vehicle to violate Dr. de la Torre’s constitutional rights, including his Fifth Amendment rights,” the letter said. “If the Committee had any concerns about the hospitals affected by the Steward bankruptcy process, it would allow, in accordance with Dr. de la Torre’s request to postpone the hearing to a more appropriate time, the bankruptcy resolution to move forward and focus its actions in combating legitimate problems. questions in the best interest of Steward’s patients, hospitals and communities.”
Video below: de la Torre detained for contempt of Congress
Massachusetts Sen. Ed Markey, a committee member whose office recently released a report blaming Steward’s crisis on “corporate greed,” alleged that the company cared more about profits than patients.
His report alleges that hospitals under Steward’s management were “destroyed” in the pursuit of maximum profits, while patients suffered from prolonged emergency waiting times, deteriorated facilities and higher death rates.
Steward filed for Chapter 11 bankruptcy protection on May 6.
Gov. Maura Healey on Friday formally seized St. Elizabeth’s Medical Center in Boston through eminent domain to keep the hospital open.
Previously, a bankruptcy judge approved the sale of Steward’s six remaining hospitals in Massachusetts. The judge said Steward and the creditors still need to resolve some differences, which we hope will be done by the end of the month.
Carney Hospital and Nashoba Valley Medical Center closed in late August after Steward found no qualified bidders.
The future of Norwood Hospital, which was under construction, remains uncertain.
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