The former CEO of Williamson (W.Va.) Memorial Hospital has admitted stealing hospital funds for personal use and without authorization, according to the Justice Department.
Charles Hatfield, 61, who is also a former mayor of Williamson, pleaded guilty May 30 to theft or bribery concerning programs receiving federal funds.
He admitted that in May 2019, during his time at the helm of Williamson Memorial, he directed that $9,197.62 in hospital funds be used to purchase a cashier's check and then used the check to settle a personal lawsuit related to a personal condominium property he owned in Venice, Fla., according to the Justice Department. He also admitted that in September 2019, he directed the transfer of $25,675 in hospital funds to Mid Mountain Properties, a real estate company he owned and operated.
The transaction occurred days before he was relieved of his CEO duties and before the rural, 76-bed hospital filed for bankruptcy in October 2019, according to court documents and statements made in court.
"[Mr.] Hatfield admitted that he was aware that the hospital could not appropriately fund its employee benefits programs, including retirement and healthcare plans at the time he directed the transfer," prosecutors said.
Additionally, he "admitted that he never requested or received authorization from the hospital's board of directors or anyone else at the hospital to direct the payments from the hospital to himself."
Mr. Hatfield faces up to 10 years in prison, three years of supervised release and a $250,000 fine, and he must pay restitution, according to the Justice Department.