When Dallas-based Steward Health Care shared plans to close two of its Massachusetts hospitals and lay off 1,243 employees, its CEO, Ralph de la Torre, MD, was in France at Versailles for the equestrian 2024 Olympic events, according to the Boston Globe.
The Aug. 7 opinion piece, authored by former Globe editor and current chair of Boston University's journalism department Brian McGrory, pointed to the irony of Dr. de la Torre's whereabouts during such a tumultuous time for the company, which sought Chapter 11 bankruptcy May 6 and is working to offload its hospitals and physician group, Stewardship Health.
"The real question, though, is whether this is even surprising, and here I’ll take a stab at an answer," Mr. McGrory said in the article. "At one level, why anyone would expect anything different from the CEO who sold the buildings and land from under his own hospitals, buried the company in debt, raked in a dividend north of $100 million, cut patient care, failed to pay vendors, and then had the company fund two ultra-luxury corporate jets that he used to soar to every conceivable five-star destination around the world?"
In February, Mr. McGrory also highlighted the abnormality of Dr. de la Torre owning not one, but two yachts, valued at $40 million and $15 million respectively, while the for-profit health system struggled to purchase medical instruments and provide patients with proper meals at some of its then 31-hospitals.
Dr. de la Torre has also been scrutinized by Massachusetts leaders, who have called the CEO out for his disregard and lack of involvement as the health system's finances crumble.
"Enough is enough," U.S. Sens. Bernie Sanders and Ed Markey said in a July 18 news release. "It is time for Dr. de la Torre to get off of his yacht and explain to Congress how much he has gained financially while bankrupting the hospitals he manages."
Sen. Elizabeth Warren has also been vocal about her thoughts on Steward and its leaders over the last few months. In a July 26 release, Ms. Warren called the planned Aug. 31 closure of its Massachusetts hospitals, Boston-based Carney Hospital and Ayer-based Nashoba Valley Medical Center, "outrageous."
"CEO Ralph de la Torre and Steward’s entire executive team need to be stripped from their roles at the company, and investigated for any wrongdoing," she said in the release.
Most recently, the Senate Health, Education, Labor and Pensions Committee voted to subpoena Dr. de la Torre and investigate Steward.
Dr. de la Torre has been ordered by the subpoena to testify at a hearing Sept. 12.
Steward did not have a comment for Becker's.
Editor's note: This story has been updated as of Aug. 8 at 5 p.m. CT.