The CEO of a hospital operator that filed for bankruptcy protection in May will resign after failing to testify before a U.S. Senate panel.
Steward Health Care CEO Ralph de la Torre has overseen a network of about 30 hospitals around the country. The Texas-based company’s troubled recent history has drawn scrutiny from elected officials in New England, where some of its hospitals are located.
A spokesperson for de la Torre told The Associated Press on Saturday that he “has amicably separated from Steward on mutually acceptable terms” and “will continue to be a tireless advocate for improving reimbursement levels for the underprivileged patient population.”
A CBS News investigation spanning nearly two years, documented how private equity investors and de la Torre raked in hundreds of millions of dollars while healthcare workers and patients struggled to get the life-saving supplies they needed.
In August, the company closed two hospitals in Massachusettswhich leaves about 1,200 workers unemployed, according to the permit.
Late. Bernie Sanders of Vermont, who chairs the Senate Health, Education, Labor and Pensions Committee, said earlier this month that Congress “will hold Dr. de la Torre accountable for his greed and for the harm he has caused hospitals and patients for all time. America.”
De la Torre’s resignation is effective October 1. The Senate approved a resolution on Wednesday that was meant to hold him in criminal contempt for fails to testify before a committee.
The Senate panel has investigated Steward’s bankruptcy. De la Torre did not appear before it despite issuing a summons. The resolution refers the case to a federal prosecutor.
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