Steward Health is allegedly under criminal investigation

BOSTON, Mass. (WLNE) — CBS News has reported that Steward Healthcare is under criminal investigation by federal authorities in Boston.

According to sources, federal prosecutors at the U.S. Attorney’s Office in Boston are investigating Steward Health Care. The allegations include fraud and violations of the Foreign Corrupt Practices Act.

Steward Healthcare currently operates dozens of hospitals nationwide.

In May, Steward announced that the company had filed for bankruptcy under the US Chapter 11 procedure.

In February, Governor Maura Healey asked Steward to leave the state and hand over its hospitals to new owners.

The state had been concerned about the company’s finances for some time, as it was reported that Steward owed $50 million in rent.

Senator Edward Markey said in a statement that too many CEOs viewed the health care system as their “piggy bank.”

“Steward must be investigated and I hope the company and management who enabled Steward’s actions face consequences that reflect the lives, livelihoods and safety they have robbed from communities,” he said.

“To ensure that what Steward did is not repeated, we need guardrails that protect communities from the risks posed by corporate greed,” he added.

A public relations representative for Steward Health told ABC 6 that they could neither confirm nor deny an investigation.