The U.S. Department of Justice is investigating Steward Health Care for potential corruption in their international business dealings, the bankrupt hospital system confirmed Thursday.
Steward spokesperson Josephine Martin shared in an emailed statement that they are aware of and cooperating with the investigation.
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"As a matter of policy, Steward will have no further comment on this investigation as it remains ongoing," she wrote.
A spokesperson for the US Department of Justice declined to comment.
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The Boston Globe reports the focus of the investigation is potential violations of the Foreign Corrupt Practices Act, a law that prohibits U.S. companies or citizens — as well as foreign entities doing business on U.S. soil — from engaging in bribery and other corruption overseas.
This is just the latest drama surrounding the troubled health care system that has roots in the Bay State. The largest physician-led hospital operator in the U.S. filed for bankruptcy back in May. Gov. Maura Healey said at the time that this situation happened because of greed and mismanagement by a failed management team at Steward, adding that the bankruptcy process should increase transparency, and Steward will "no longer be able to lie."
This past Friday, state officials confirmed that the sale of Steward Health Care's physician network to for-profit insurer Optum is off, underscoring the uncertainty swirling around the bankrupt hospital system and the future of its hospitals and providers in Massachusetts.
