Westbank Louisiana News

WASHINGTON – U.S. Senator Bill Cassidy, M.D. (R-LA), ranking member of the Senate Health, Education, Labor, and Pensions (HELP) Committee, addressed the Committee's vote to subpoena Steward Health CEO Dr. Ralph de la Torre regarding financial mismanagement allegations. The subpoena was approved with a bipartisan vote of 16-4.

“Dr. de la Torre’s poor financial decisions and gross mismanagement of its hospitals is shocking. Patients’ lives are at risk. The American people deserve answers,” said Dr. Cassidy. “The decision to subpoena Steward did not come lightly. But the situation is actively impacting patients in the communities we represent. Congress has a responsibility to act.”

“My goal is to ensure residents in the community served by Steward hospitals like Glenwood in Louisiana receive the care they need, and to get to the bottom of these problems to make sure they do not happen again,” continued Dr. Cassidy.

The HELP Committee has never before issued a subpoena for testimony, underscoring the severity of this action.

In 2010, Cerberus Capital Management purchased a group of failing hospitals in Massachusetts, forming Steward Health Care in collaboration with Dr. de la Torre and his team. The company grew rapidly but faced criticism over management practices.

From 2015 onward, under Dr. de la Torre’s leadership, Steward expanded at an unsustainable rate. In 2016, he decided to sell Steward’s real estate holdings to Medical Property Trust (MPT) and lease them back—a move that allegedly benefited him financially.

In 2018, Steward entered into a partnership with Malta to run hospitals there; this deal is now under investigation by the Department of Justice for fraud and corruption allegations.

Cerberus sold its controlling stake in June 2020 to a group led by Dr. de la Torre after securing funds through MPT loans—allegedly earning him $100 million while leaving Steward with significant debt.

By January 2024, Steward owed approximately $50 million on mortgage payments and filed for bankruptcy in May with debts around $9 billion.

Steward’s financial troubles have affected hospital operations nationwide, including Glenwood Regional Medical Center in West Monroe, LA, where resource shortages have severely impacted patient care.

"One patient died while waiting for a transfer because Glenwood did not have resources," noted Cassidy regarding Glenwood's dire situation.

Cassidy highlighted other incidents such as a woman's death at a Massachusetts hospital due to repossessed medical supplies as examples of widespread issues across Steward facilities.

Dr. de la Torre refused an invitation from Chair Sanders and Cassidy on June 25 without proposing an alternative date or representative for testimony.

“The decision to subpoena Steward did not come lightly... Congress has a responsibility to act,” reiterated Cassidy.