Steward executives paid themselves millions before filing for bankruptcy

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In the months before filing for Chapter 11 bankruptcy, as Steward Health Care struggled to pay its bills, the company gave million-dollar payouts to nearly 20 current and former executives, according to court records.

In this August 2009 photo, Ralph de la Torre, then-CEO of Caritas Christi, speaks at a meeting at Norwood Hospital. , as Steward Health Care struggled to pay its bills, the company gave million-dollar payouts to about 20 executives, according to court records.— a former heart surgeon who launched the company in 2010 — received $5.6 million. This included a salary of about $4.2 million. The other payments include expense reimbursements, as well as $161,000 for “non-business flights.

A Steward spokesperson declined to answer WBUR's questions about about executive compensation, including what kind of expenses the company reimburses. “If they're scrambling, if creditors aren't getting paid, if suppliers aren't getting paid, if patient care is suffering,” Saini said, “then it really would be important to make sure this was not a corrupt practice in which people are siphoning money off a sinking ship in order to make sure they've feathered their own nest, to hell with anybody else.”

 

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