Company: Central Kansas Medical Center, Great Bend
Name: Judy Scott
Background: Resigned in May after underestimating cash reserves needed to cover shortfalls in Medicare and Medicaid reimbursements. According to a news account, the hospital's board chairman says procedures of its parent company, Catholic Health Initiatives, Denver, were not being followed. Hospital officials declined to be interviewed for this story.
Company: Deaconess Health Care, Oklahoma City
Name: Larry Stephens
Background: Resigned this month after an unexpected downturn in the system's finances reportedly attributed to adjustments in contractual reserves and higher-than-anticipated expenses for salaries and pension funding. The system incurred an operating loss of $3.9 million on operating revenue of $67.1 million in the first six months of fiscal 2003, ended April 30, compared with a $44,000 loss in the year-ago period, according to Moody's Investors Service.
Company: Glenwood Regional Medical Center, West Monroe, La.
Name: Phil Caron
Background: Resigned in November 2003 amid what hospital officials described as "chronic problems" in the hospital's billing department. In January, the hospital restated its 2001 financial results.
Company: HealthSouth Corp., Birmingham, Ala.
Names: Aaron Beam; Michael Martin; Malcolm McVay; William Owens; Weston Smith (Served the company at different times from 1984 to 2002)
Background: All agreed this year to plead guilty to fraud charges in connection with accounting irregularities at the company, including inflation of earnings by as much as $2.5 billion.
Company: New England Baptist Hospital, Boston
Name: Charles Shepardson
Background: The hospital's CFO of 22 years, Shepardson resigned in July 2002 as the hospital faced unexpected financial losses. A hospital spokeswoman told Modern Healthcare recently that Shepardson resigned for personal reasons.
Company: North Broward Hospital District,
Fort Lauderdale, Fla.
Name: Patricia Mahaney
Background: Resigned in September 2002 on the same day the district announced it had asked the Broward County Sheriff's Office to investigate undisclosed financial irregularities. According to news reports, officials including her lawyers said the investigation centered on Mahaney's involvement in the district's consideration of a software purchase from a company co-owned by her husband and whether Mahaney gave inside information to developers proposing to lease a medical office building to the district. An indictment on two theft charges announced this month alleges Mahaney deposited two hospital checks totaling $13,773 into her bank account in 1998. She faces up to 10 years in prison and up to $250,000 in fines for each count.
Company: Nyack (N.Y.) Hospital
Name: Eric Broder
Background: Resigned in September 2000 after a costly nursing strike. The hospital alleged in court documents that a temporary nurse-staffing firm Broder eventually quit to work for overcharged the hospital by millions of dollars during the strike and that Broder hid the extraordinary costs of those staffing firms' services. In July 2002, the hospital restated earnings for 1999 and 2000.
Company: Tenet Healthcare Corp.,
Santa Barbara, Calif.
Name: David Dennis
Background: Resigned in November 2002 after the launch of a federal audit of the company's unusually large collections of Medicare payments for expensive cases, called outliers. Investors also questioned the company's lack of prompt disclosure about the outlier investigation and a separate federal probe of allegations that two physicians at its hospital in Redding, Calif., performed unnecessary heart procedures. At the time, CEO Jeffrey Barbakow said, "In some cases, particularly aggressive pricing strategies created increasing outlier payments. That's simply not the way I want to do business at Tenet." Barbakow resigned as Tenet's CEO in late May.
Company: Universal Health Services,
King of Prussia, Pa.
Name: Kirk Gorman
Background: Fired in February after writing letters to the company's auditor, KPMG, to express his "philosophical differences" over their division of responsibilities. Gorman said that because he was not a certified public accountant or a securities lawyer, he relied on KPMG to ensure that the company's financial statements complied with accounting rules. The Securities and Exchange Commission has launched an informal inquiry into Gorman's dismissal.