Steward Health Care files a lawsuit against a US Senate panel over contempt resolution

Steward Health Care CEO, Ralph de la Torre, has taken legal action against a U.S. Senate committee that pursued contempt charges against him for not appearing before the panel despite being subpoenaed. The lawsuit, filed in federal court in Washington, lists nearly all members of the Health, Education, Labor and Pensions Committee, including Sen. Bernie Sanders, who heads the committee investigating Steward’s bankruptcy. Allegations in the lawsuit claim that the lawmakers are violating de la Torre’s constitutional rights by attempting to force him to discuss Steward’s bankruptcy.

The lawsuit argues that the committee’s actions are a breach of de la Torre’s Fifth Amendment right and seeks to invalidate all measures related to enforcing the subpoena, including the committee’s criminal contempt resolution vote on Sept. 19 and the Senate’s subsequent approval of the resolution. De la Torre’s lawyer, William “Bill” Burck, stated that individuals cannot be compelled to testify in such circumstances and that Congress cannot punish individuals for exercising their rights.

The legal action comes before de la Torre steps down as CEO of Steward, a network of approximately 30 hospitals nationwide. The company has faced scrutiny for its troubled financial past, with some hospitals in New England attracting attention from elected officials. A spokesperson for de la Torre announced his departure from Steward under amicable terms while expressing a commitment to advocating for better reimbursement rates for underserved patients.

Senator Sanders previously vowed to hold de la Torre accountable for alleged actions affecting hospitals and patients across the country. Steward’s decisions to close pediatric wards in Massachusetts and Louisiana, neonatal units in Florida and Texas, and maternity services in Florida have drawn strong criticisms. Meanwhile, attorney Alexander Merton on behalf of de la Torre attributed issues to systemic failures in Massachusetts’ healthcare rather than individual actions.

Massachusetts Governor Maura Healey recently announced the state had taken over a hospital, St. Elizabeth Medical Center, previously operated by Steward, through eminent domain to prevent closure. Steward has faced challenges with closing hospitals in Massachusetts due to the inability to find buyers during bankruptcy proceedings. The developments indicate ongoing legal and operational struggles for Steward Health Care amid a backdrop of financial and regulatory challenges.

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