WASHINGTON—Senators voted on July 25 to authorize an investigation into Steward Medical Group and subpoena testimony from its CEO, following its bankruptcy filing and the CEO’s declining of two invitations to appear before Congress. This is the first time that the Senate Health, Education, Labor & Pensions Committee has issued a subpoena compelling testimony since 1981.
They allege that Steward’s leadership engaged in a Ponzi scheme by purchasing hospitals across the country, saddling them with more than $9 billion in debt, selling their land, and reaping massive profits while cutting patient care and allowing the hospitals to go broke.
