Steward CEO defies Senate subpoena on hospital closures

Steward Health Care CEO Ralph de la Torre has refused to comply with a U.S. Senate subpoena regarding the company's bankruptcy and hospital closures. His legal team argues that he must remain silent due to an ongoing mediation process, which is protected by a federal court order. The Senate committee, led by Vermont Senator Bernie Sanders, is investigating the circumstances surrounding Steward's bankruptcy, which has resulted in the closure of two hospitals in Massachusetts. De la Torre's lawyers claim that the committee's actions are an attempt to publicly convict him rather than gather facts. The Senate committee is determined to hold de la Torre accountable for what they describe as gross mismanagement of Steward Health Care. Senators Edward Markey and Elizabeth Warren have expressed outrage at his refusal to testify, stating that he owes the public answers regarding the impact of his decisions on hospitals and patients. They have indicated that the committee may pursue contempt charges against him, which could lead to fines or even jail time. Steward Health Care, which operates around 30 hospitals, declared bankruptcy earlier this year and has been attempting to sell its facilities in Massachusetts. However, inadequate bids have led to the closure of Carney Hospital and Nashoba Valley Medical Center. The committee's investigation is part of a broader scrutiny of the healthcare sector, particularly regarding the role of private equity in hospital management and the financial burdens placed on these institutions. As the situation unfolds, the Senate committee is exploring ways to compel de la Torre to testify, emphasizing the need for accountability in the healthcare industry. The outcome of this investigation could have significant implications for the future of Steward Health Care and its operations across the country.