Public records and reports from the Senate HELP Committee

Senate Opens Bipartisan Investigation into Steward Health Care Bankruptcy, Subpoenas CEO for September Hearing

Jul 25, 2024, 12:57 PM

A U.S. Senate committee has opened a bipartisan investigation into the bankruptcy of Steward Health Care, the nation’s largest for-profit health system. The investigation, led by the Senate Health, Education, Labor, and Pensions (HELP) Committee, aims to scrutinize the financial mismanagement of the Dallas-based company. Steward Health Care, which filed for Chapter 11 bankruptcy in May, has faced significant challenges, including delays in hospital sales and failure to secure bids for facilities in Ohio and Pennsylvania. Despite these setbacks, the company has received successful bids for hospitals in Arkansas and Louisiana. All of Steward's hospitals in Massachusetts have received bids, according to Governor Maura Healey. The committee has issued a subpoena to CEO Ralph de la Torre, compelling him to testify at a public hearing in September. Lawmakers, including Senators Bernie Sanders and Ed Markey, have criticized de la Torre for prioritizing profits over patient care, citing issues such as staffing challenges and broken equipment at Steward's hospitals. The investigation seeks to hold the CEO accountable for the financial collapse and its impact on healthcare services.