Washington (September 19, 2024) - Senator Edward J. Markey (D-Mass.), chair of the Senate Health, Education, Labor, and Pensions (HELP) Subcommittee on Primary Health and Retirement Security, today released the following statement after the committee voted unanimously to hold Steward Health Care (Steward) CEO Dr. Ralph de la Torre in both civil and criminal contempt of Congress. The committee voted on July 25th to subpoena Steward CEO Dr. Ralph de la Torre to testify in front of the committee last Thursday, September 12th, 2024. Dr. de la Torre refused to attend the hearing. Dr. de la Torre also refused numerous invitations from Senator Markey, including a joint invitation from Senators Markey and Warren, to testify at a Boston field hearing Senator Markey chaired in April 2024 on the Steward crisis and the role of corporate greed in health care,

“As a physician and as the CEO of Steward from its founding, there is no one who understood the potential consequences of Steward’s failures more than Dr. Ralph de la Torre. Dr. de la Torre led Steward when it sold out hospital real estate to Medical Properties Trust and allowed Cerberus to extract over $800 million in profit. Dr. de la Torre led Steward as 8 hospitals closed, 2,000 patients were endangered, and at least 15 patients died. Dr. de la Torre led Steward as it filed for bankruptcy.

The American people deserve to hear directly from Dr. de la Torre about how this disaster unfolded. But Dr. de la Torre has made clear – through his corporate attorneys – that he feels no accountability to the patients who died, the workers fired, or the communities left behind. Dr. de la Torre may try to shield himself from hearing from the people in Massachusetts that he hurt, but I hear from them. I am with them. They are angry, and I am angry for them.

Today, with a unanimous vote, we are making clear to Dr. de la Torre, the Steward Board of Directors and senior leadership, and other CEOs, private equity investors, and corporate executives who treat the health care system like their piggy bank: your millions do not shield you from accountability to a legal order issued by the United States Senate.”

Senator Markey has consistently advocated for transparency and accountability for private equity in health care amidst the Steward hospital crisis.

Last week, Senator Markey unveiled “The Steward Health Care Report: How Corporate Greed Hurt Patients, Health Workers, and Communities.” The report spotlights patient and worker experiences, hospital quality data, and information on hospital closures in Massachusetts and around the country, to document the devastating impacts of Steward’s mismanagement.  

On July 31, 2024, Senator Markey sent a letter to Steward Health Care, Medical Properties Trust, Inc. (MPT), and Macquarie Investment Partners (MIP), regarding Steward Health Care’s announced closure of Carney Hospital and Nashoba Valley Medical Center and the ongoing bankruptcy proceedings. The letter was included with Massachusetts Nurses Association’s pleading before the Texas Southern District Bankruptcy Court objecting to Steward’s emergency motion to close Carney Hospital and Nashoba Valley Medical Center.

Also in July, Senator Markey spoke at a press conference after Steward announced the closure of Nashoba Valley Medical Center in Ayer and Carney Hospital in Dorchester. Earlier in the month, Senator Markey was joined by fifteen bipartisan colleagues in voting to subpoena Steward Health Care CEO Dr. Ralph de la Torre to compel him to appear before the HELP Committee on September 12 and answer for the business practices of Steward Health and the role private equity and real estate investment trusts played in its bankruptcy. This was the first time the Senate HELP Committee had issued a subpoena since 1981.

On July 25, 2024, Senator Markey and Congresswoman Pramila Jayapal (WA-07) introduced the Health Over Wealth Act, legislation that would put safeguards in place to protect workers, patients, and health care quality, access, and safety; create stronger accountability measures for corporate greed; and close tax loopholes that benefit real estate investment trusts making money off of health care property.

View a full timeline of Senator Markey’s actions on private equity in health care HERE.

###