The founder and CEO of Americore Health, which owns and operates hospitals in three states, is under civil and criminal investigation, according to the St. Louis Post-Dispatch.
One of Americore's hospitals, Ellwood City (Pa.) Medical Center, was raided by the FBI on Jan. 30. Federal agents raided Americore CEO Grant White's personal residence on Jan. 29, according to the report.
Americore and its affiliated hospitals filed for Chapter 11 bankruptcy in late December. In court documents filed this month, U.S. Trustee Paul Randolph said Mr. White "improperly siphoned money from the debtors for his personal benefit." Mr. Randolph, whose office oversees bankruptcy cases, said he did not believe Mr. White had been charged with a crime.
The U.S. Trustee's office, which is seeking access to Americore's financial information, claims Mr. White "grossly mismanaged" the business. The official committee of creditors in Americore's bankruptcy case made similar allegations and is seeking an investigation into the business and financial affairs of Americore.