US Senate Votes to Hold Steward Health CEO in Criminal Contempt, According to Reuters

By Nate Raymond and Dietrich Knauth

The U.S. Senate voted on Wednesday to hold Ralph de la Torre, CEO of Steward Health Care, in criminal contempt of Congress after he declined to testify regarding cost-cutting measures at the company’s 31 hospitals prior to its bankruptcy filing.

The unanimous vote came in response to de la Torre’s absence from a Senate Committee hearing on September 12, which investigated Steward’s financial troubles, despite his receiving a subpoena. Instead of hearing from de la Torre, the committee listened to testimony from nurses and public officials, who asserted that Steward prioritized corporate profits over patient care. The committee had previously voted to issue a contempt resolution, culminating in Wednesday’s full Senate vote.

Senator Bernie Sanders, who chairs the committee, emphasized the importance of sending a clear message that even wealthy individuals, such as de la Torre, are subject to the law. “If you defy the congressional subpoena, you will be held accountable no matter who you are or how well connected you may be,” Sanders stated.

This vote marked the first criminal contempt referral to the U.S. Department of Justice by the Senate since 1971, which will ultimately determine if charges will be filed.

Democratic Senator Ed Markey of Massachusetts remarked, “For everyone who has suffered due to Ralph de la Torre’s greed and Steward’s collapse, I hope the Department of Justice will move swiftly to bring charges against him.”

Steward Health Care did not comment on the vote, and a spokesperson for de la Torre did not respond to inquiries.

The company, which is the largest privately owned hospital network in the U.S., filed for bankruptcy in May while seeking to sell all of its hospitals and address approximately $9 billion in debt. Since then, Steward has sold several properties.

Federal prosecutors in Boston are known to be investigating de la Torre and Steward.

De la Torre has maintained that the Senate committee hearing was an infringement on his Fifth Amendment rights, asserting that it would unfairly depict him as a “criminal scapegoat for the systemic failures in Massachusetts’ healthcare system.” He has stated that it would be inappropriate for him to testify about the company’s financial matters while under court-supervised bankruptcy negotiations.