news-01102024-035004

Steward Health Care CEO, Ralph de la Torre, has taken legal action against a U.S. Senate committee that sought contempt charges against him for not appearing before the panel despite being subpoenaed. The lawsuit, filed in federal court in Washington, names nearly all members of the Health, Education, Labor, and Pensions Committee, including Sen. Bernie Sanders, who heads the committee that has been looking into Steward’s bankruptcy.

The lawsuit argues that the lawmakers are violating de la Torre’s constitutional rights by trying to force him to answer questions about Steward’s bankruptcy. They claim that the committee is making an effort to punish de la Torre for invoking his Fifth Amendment right not to testify against himself.

De la Torre is asking the court to declare all actions related to the subpoena enforcement as invalid and unconstitutional, including the committee’s vote on the criminal contempt resolution and the decision to bring it to the full Senate for a vote, which was approved last week.

William “Bill” Burck, de la Torre’s lawyer, stated that no one can be compelled to testify when exercising their Fifth Amendment rights, and Congress cannot punish or intimidate him for doing so.

The lawsuit comes right before de la Torre steps down as CEO of Steward, where he has overseen a network of around 30 hospitals across the country. The company’s troubled history has attracted attention from officials in New England, where some of its hospitals are located.

A spokesperson for de la Torre mentioned that he has left Steward on good terms and will continue advocating for better reimbursement rates for underprivileged patients. Sanders has expressed that Congress will hold de la Torre accountable for his actions, which have negatively impacted hospitals and patients nationwide.

Steward has faced criticism for closing pediatric wards in Massachusetts and Louisiana, shutting down neonatal units in Florida and Texas, and ending maternity services at a Florida hospital. Senator Edward Markey has accused Steward and its corporate partners of profiting at the expense of hospitals and patients.

De la Torre’s attorney, Alexander Merton, has argued that the blame lies with systemic failures in Massachusetts’ healthcare system, and de la Torre is being unfairly targeted as a criminal scapegoat. Merton has also mentioned that de la Torre is willing to testify at a later date.

Recently, Massachusetts Governor Maura Healey announced the state’s seizure of a hospital through eminent domain to prevent closure and facilitate a transition to a new owner. St. Elizabeth Medical Center in Boston, previously operated by Steward, will now be managed by Boston Medical Center.

Two other Steward-operated hospitals in Massachusetts were forced to shut down when no suitable buyers were found during the bankruptcy proceedings. The situation highlights the challenges facing the healthcare industry and the importance of ensuring continuity of care for patients.