Bipartisan Senate Budget Committee investigation exposes how private equity firms prioritize profits over patients, jeopardizing care and eroding hospitals’ financial health.
From the report, the two firms singled out for special scrutiny are:
- Apollo-Owned Lifepoint Health and Ottumwa Regional Health Center (ORHC)
“ORHC’s private equity-owned operators failed to fulfill seven promises—including legally binding ones—made to ORHC when it was first acquired by a private equity-owned operator in 2010.”
- Leonard Green & Partners (LGP) and Prospect Medical Holdings (PMH)
“Despite gross financial and operational mismanagement of its hospitals, LGP took home $424 million of the $645 million that PMH paid out in dividends and preferred stock redemption during LGP’s majority ownership—in addition to over $13 million in fees—that left PMH in severe financial distress.”
So the usual ‘commit murder but it doesn’t count because it was done by paperwork’.
I have yet to discover any way in which for profit investments in health care provide better results.
There’s this old right-libertarian meme that goes something like this:
Me: I have apples
Friend: I would like to buy your apples
Government: We need to be part of this transactionSomehow, they never connect insurance companies doing the same to healthcare.
https://en.m.wikipedia.org/wiki/United_States_v._Ninety-Five_Barrels_Alleged_Apple_Cider_Vinegar
That is one of the foundational cases that allowed the FDA to operate. Basically, the government gets involved when people lie about their apples lol
They aren’t horning in to take an unearned slice! They are assuring quality! Somehow! /s
You don’t say
