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Bernie Sanders Pursues Contempt Charges Against Steward Health CEO

Sen. Bernie Sanders, I-Vt., smiles as he addresses Unite Here Local 11 workers holding a rally, April 5, 2024, in Los Angeles. (AP Photo/Damian Dovarganes, File)

Vermont U.S. Sen. Bernie Sanders has issued a warning to Steward Health Care CEO Ralph de la Torre, stating that he is prepared to pursue contempt charges if de la Torre fails to appear at a hearing despite being subpoenaed. Sanders emphasized the need for de la Torre to be held accountable to the American people regarding his financial gains amidst Steward Health Care's bankruptcy filing in May.

Steward Health Care, which operated approximately 30 hospitals nationwide, has been facing challenges with the sale of its hospitals in Massachusetts. Two hospitals, Carney Hospital in Boston and Nashoba Valley Medical Center in Ayer, have closed due to inadequate bids, while the sale of other Massachusetts hospitals was recently approved by a federal bankruptcy court.

Sanders criticized de la Torre for his reluctance to testify before the Senate Health, Education, Labor and Pensions Committee, which Sanders chairs. De la Torre's lawyers cited a federal court order preventing him from discussing ongoing reorganization and settlement efforts. However, Sanders highlighted that there are unresolved questions that de la Torre could address.

The committee's inquiry into Steward Health Care's bankruptcy proceedings has been met with resistance from de la Torre's legal team, who accused the committee of attempting to portray the hearing as a 'pseudo-criminal proceeding.' Despite the possibility of de la Torre testifying at a later date, Sanders dismissed it as a delaying tactic.

Sanders underscored the impact of hospital closures on communities, particularly low-income areas, where access to healthcare services becomes limited. He raised concerns about patient deaths in Steward hospitals due to staffing shortages and inadequate medical equipment.

The committee's options in response to de la Torre's non-compliance include holding him in criminal contempt, which could lead to a trial and jail time, or civil contempt, resulting in fines until his appearance. The decision would require a Senate vote.

De la Torre's refusal to testify at a previous Boston field hearing chaired by Sen. Edward Markey, a committee member, further complicates the situation. Sanders expressed determination in pursuing accountability and transparency in the healthcare sector.

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