Washington (July 11, 2024) -- Senator Edward J. Markey (D-Mass.), chair of the Health, Education, Labor, and Pensions (HELP) Subcommittee on Primary Health and Retirement Security, today released the following statement on the media-reported federal investigation into Steward Health Care on charges of fraud and corruption.  

“Instead of embracing the obligation to provide safe, high-quality care to people and communities, too many greedy CEOs view the health care system as their piggy bank,” said Senator Markey. “Led by Dr. Ralph de la Torre, Steward is just the latest example of corporate greed endangering our health system. Whether in Massachusetts or Malta, Dr. de la Torre used his credentials as a physician and CEO to sell Steward as a health care savior. Instead, he and his corporate enablers in private equity and real estate hollowed out a health system as they lined their pockets. Steward must be investigated, and I hope the company and the corporate executives who facilitated Steward's actions face consequences that reflect the lives, livelihoods, safety, and security that they stole from communities. 

“To guarantee that what Steward has done doesn’t happen again, we need guardrails that protect communities from the risk of harm that corporate greed inflicts. That is why I will be introducing legislation that would move us toward systemic reform where CEOs and corporate investors cannot place their profit motive above the well-being of patients, providers, and communities. We need a health care system, not a wealth care system.”  

On April 3rd, 2024, Senator Markey chaired a HELP Subcommittee field hearing in Boston and released his new legislative agenda, including a discussion draft of the Health Over Wealth Act, which calls for transparency and accountability for private equity in health care; protecting patients, providers, and workers; and guaranteeing health care for all. 

Additionally, on May 16, Senator Markey and Senator Bernie Sanders wrote to United States Department of Health and Human Services (HHS) Secretary Xavier Becerra requesting that HHS stand ready to provide any support necessary to help ensure that no one loses access to care as a result of Steward Health Care’s gross financial mismanagement. On March 7, 2024, Senators Markey and Elizabeth Warren (D-Mass.) sent a letter to Dr. de la Torre requesting financial information, including executive compensation, financial statements, Steward’s arrangement with Medical Properties Trust, repayment of debts to Massachusetts, Steward merger and acquisition activity, and loans from Brigade, Soundpoint, and other lenders in 2023. In February 2024, the Massachusetts Congressional delegation sent a letter to Cerberus Capital Management seeking answers from the private equity firm for its role in creating the current financial challenges at Steward hospitals. In January 2024, Senators Markey and Warren led the Massachusetts delegation in a letter to Steward pressing them on their financial position, the status of their facilities in Massachusetts, and their plans to ensure the communities they serve are not abandoned.

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