Senator Harriss and Representative Elik Call for State and Federal Investigations into Gateway Regional Medical Center
Sen. Erica Harriss and Rep. Amy Elik cited reports of unpaid taxes, employee pay problems and allegations that funds were transferred out of Illinois.
GRANITE CITY – State Senator Erica Harriss (56th-Glen Carbon) and State Representative Amy Elik (111th-Alton) are calling on state and federal authorities to investigate allegations involving the possible misuse of taxpayer funds and financial practices at Gateway Regional Medical Center (GRMC) and its parent company, American Healthcare Systems, following recent reports by local media.
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On Friday, Senator Harriss and Representative Elik sent letters to Illinois Attorney General Kwame Raoul and the U.S. Department of Justice Todd Blanche requesting investigations into potential misuse of state funds, possible violations of Illinois law and allegations that taxpayer dollars may have been transferred out of state.
“Let us be crystal clear: we do not want Gateway to close,” said Senator Harriss. “This hospital serves thousands of people in our region and supports more than 600 local jobs. We are asking for patients to receive the care they deserve, employees to be paid on time and for answers about how taxpayer dollars have been handled.”
Gateway reportedly owes the State of Illinois more than $40 million in unpaid taxes, penalties and advance payments. The hospital also reportedly owes more than $2.6 million in property taxes, more than $600,000 for water service and approximately $250,000 in energy costs.
Senator Harriss and Representative Elik also cited reports of employees experiencing problems receiving proper pay and accessing insurance benefits due to nonpayment by the company, as well as concerns about the hospital’s ability to provide critical services.
“When this amount of taxpayer money is involved, these questions cannot simply be ignored,” said Representative Elik. “Gateway is an important part of our community, but patients, employees and taxpayers deserve to know whether these funds were used properly and whether any laws were violated.”
The letter to Attorney General Raoul asks his office to investigate potential fraud, misuse of taxpayer money and possible violations of Illinois law. The letter to the Department of Justice requests a federal review of allegations that taxpayer dollars may have been improperly transferred across state lines.
“We are not accusing anyone of wrongdoing. We are asking the proper authorities to investigate these allegations.” said Senator Harriss. “If taxpayer dollars were misused or improperly transferred, those responsible need to be held accountable. Our community deserves answers.”
Senator Harriss and Representative Elik said their goal is to protect patients, employees and taxpayers while ensuring Gateway can continue serving Granite City and the surrounding communities. Senator Harriss has also previously reached out to GRMC administrators seeking a meeting, but those requests went unanswered.
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