Jackson Health System, Miami, removed its interim chief restructuring officer after news media pointed out to hospital administrators that the officer, Barry Dubin, was named as Individual A in an alleged criminal conspiracy in Chicago.
Jackson Health President and CEO Eneida Roldan said she asked turnaround consulting firm Qorval, Naples, Fla., to remove Dubin from the $200,000-a-month turnaround team after she learned that Dubin was the chief operating officer for a Chicago window manufacturer whose CEO was jailed on $10 million bond in September for allegedly fleecing the company.
Criminal court records filed against former Republic Windows and Doors CEO Richard Gillman say he conspired with his COO—named only as “Individual A” in the document—and another company official to steal the industrial manufacturer’s equipment and fraudulently start a new business without Republic’s $10 million in bank debt or its 200 employees.
“Anticipating the economic demise of Republic, Gillman and Individuals A and B formulated and executed a scheme to defraud Republic’s debtors and its employees, enriching themselves in the process,” Cook County, Ill., prosecutors wrote in a Sept. 10 legal document laying out their evidence against Gillman.
Dubin has not commented on the allegations, and has not been charged with any wrongdoing. Qorval Managing Partner James Malone said Dubin does not dispute that he is Individual A, but said he has been working with the prosecutors and has been asked not to talk publicly about the case.
“The reason they used Person A and Person B is to protect the innocent. Now for him to be impugned at the center of it seems to me to be unfair,” Malone said. After the news broke on Thursday, “I asked him straight up, ‘What the hell is this?’ He said, ‘Jim, I never knew about it, I was never a signator on anything, I knew nothing.’ ”