Sat Sep 28 20:49:14 UTC 2024: ## Steward Health Care CEO Resigns After Bankruptcy and Congressional Scrutiny
**BOSTON, MA -** Ralph de la Torre, CEO of Steward Health Care, has resigned from his position, effective October 1st. The move comes after the hospital operator filed for bankruptcy in May and de la Torre failed to appear before a Senate committee investigating the company’s financial dealings.
De la Torre’s tenure at Steward has been marked by controversy. A CBS News investigation revealed that private equity investors and de la Torre extracted hundreds of millions of dollars from the company while healthcare workers and patients faced shortages of life-saving supplies. In August, the company closed two Massachusetts hospitals, resulting in over 1,200 job losses.
The Senate Health, Education, Labor, and Pensions Committee, chaired by Senator Bernie Sanders, has been investigating Steward’s financial practices. De la Torre was issued a subpoena to appear before the committee but failed to do so. The Senate subsequently voted to hold him in criminal contempt, referring the matter to a federal prosecutor.
Senator Elizabeth Warren of Massachusetts, commenting on de la Torre’s resignation, tweeted that Massachusetts communities are “finally free from Ralph’s destructive reign,” but that he is “not off the hook yet.” Senator Ed Markey, also from Massachusetts, called for de la Torre to be held accountable in the court of law, accusing him of extracting millions from hospitals while patients suffered and died.
De la Torre’s spokesperson stated that he amicably separated from Steward and will continue to advocate for improved healthcare reimbursement rates for disadvantaged patients. He claims that Steward’s financial struggles highlight the need for reform in Massachusetts’ healthcare system.
However, the allegations of financial impropriety and the company’s subsequent bankruptcy continue to raise concerns about the management of Steward Health Care under de la Torre’s leadership. The Senate investigation and potential legal proceedings are expected to shed further light on the company’s practices and the role played by its former CEO.
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