Massachusetts Sen. Ed Markey will hold a hearing next month to investigate Steward Healthcare's ongoing financial crisis, which he describes as a “financial pyramid scheme.”
Markey announced that he will chair a Senate subcommittee hearing on April 3 in Boston to examine the role of for-profit companies in the health care system. Democrats said they will hold Steward's CEO to account for the company's dire financial situation after receiving $675 million in federal coronavirus relief money.
“Steward got to this point because corporate executives filled their own pockets while hollowing out the health care system,” Markey said. “They were using tax dollars to keep their yachts afloat while hospitals were underwater.”
“For-profit companies like Steward shamelessly profit from health care providers while making it harder for people to get the care they need,” Markey said. “For-profit companies, including private equity, are putting our hospitals on life support in order to make a profit, while communities are being forced to clean up the mess they leave behind. Masu.”
Steward operates nine medical facilities across Massachusetts, including Good Samaritan in Brockton. He said the company doesn't have the money to keep its facilities open and wants to exit the Massachusetts health care market. The company employs approximately 16,000 people in Massachusetts.
Gov. Maura Healey took aim at the financially troubled Steward Healthcare System on Monday, saying the company's financial woes were self-inflicted and encouraging the state to make what she called an orderly transition from the company. He added that he is still working towards that goal.
“Frankly, it's disgusting,” Healy said Monday. [Steward’s CEO] They performed surgeries, putting patients, health care providers, and our communities at risk. ”
Healy said state monitors are on the ground monitoring nine medical facilities run by the company, including hospitals in some poorer areas of the state.
“This is not a problem created by Massachusetts,” she says. “One individual in Steward and one management team has caused this mess, putting a lot of people at risk, causing legitimate concerns and making a lot of us really, really angry.”
A Steward spokesperson said the company has provided audited financial statements to state regulators through 2021, but does not yet have audited financial statements for 2022 and will submit them once completed.
Late Friday night, a Steward spokesperson issued the following statement to Boston 25, but did not comment specifically on Markey's hearing.
“We continue to work with public officials to transition the hospital to other owners. In the meantime, our hospital remains open. 24 hours a day, 365 days a year And we are an important resource for many people in the Commonwealth. ”
“We have to find solutions, but first we have to focus on the problem,” Markey said.
This is a developing story. Check back for updates as more information becomes available.
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