Senate Committee Investigates Steward Health Bankruptcy

The U.S. Senate Health, Education, Labor and Pensions Committee has voted to investigate the bankruptcy of Steward Health Care, issuing a subpoena to CEO Dr. Ralph de la Torre to testify at a public hearing on September 12. This move follows Steward's Chapter 11 filing in May, during which it announced plans to sell its 31 hospitals amid criticisms of financial mismanagement and corporate greed. Senator Bernie Sanders, who spearheaded the investigation, accused de la Torre of enriching himself while the hospital system faced severe financial difficulties, accumulating $9 billion in debt. The bipartisan committee's decision to issue a subpoena is unprecedented, reflecting the urgency of the situation, as patients' healthcare access is at risk due to potential service interruptions. Lawmakers are particularly concerned about the implications of private equity ownership in healthcare, with Senator Edward Markey emphasizing the need for accountability. The committee intends to scrutinize Steward's financial practices and their impact on patient care and community health.