Dallas-based healthcare giant Steward Health Care announced a major leadership shakeup, effective October 1, as its CEO and Chairman, Ralph de la Torre, steps down amidst controversy. The move comes after de la Torre was held in criminal contempt by the U.S. Senate for refusing to testify about the company’s cost-cutting measures and financial struggles.
De la Torre, a renowned heart surgeon, had been subpoenaed to appear before the Senate Committee on Health, Education, Labor and Pensions on September 12, but declined to attend. The Senate subsequently voted unanimously to hold him in contempt of Congress.
As part of an agreement reached earlier this month, de la Torre will no longer lead the company, which filed for bankruptcy in May with $9 billion in debt. Steward, the largest privately owned hospital network in the U.S., has since sold several hospitals as part of its restructuring efforts.
De la Torre’s spokesperson emphasized that his departure was amicable and that he would continue to advocate for improved reimbursement rates for underprivileged patients. The former CEO urged sustained focus on this critical issue, highlighting the need for Massachusetts to reform its healthcare structure and address inequities in its state system. Several hospitals affected by Steward’s financial woes were based in Massachusetts.
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