Ousted Long Island hospital CEO for breach of contract after Hochul's 'hostile takeover' booted her
Meg Ryan, the former president of the Nassau Health Care Corporation, was given the boot by Hochul and her cronies in an 'illicit scheme' to have NUMC foot the bill for Medicaid payments that the state was on the hook for, she claimed in a statement to The Post.
Ryan is alleging breach of contract and seeking damages after Hochul appointed her allies Richard Becker, Stuart Rabinowitz, Richard Kessel and others to oversee the hospital, according to a notice of claim her lawyers filed in state court Wednesday.
4 Meg Ryan, the former president of the Nassau Health Care Corporation, alleged breach of contract and is seeking damages after Hochul appointed allies to oversee the hospital.
Stefano Giovannini
'They weaponized the Department of Health and the state budget process to take over our community hospital and then leaked misinformation to the press to damage me personally,' Ryan fumed. 'It is unconscionable.
'I am eager to have my day in court and fight not only to clear my name but further expose the state's corruption.'
Becker, Rabinowitz and Kessel and 10 unidentified members of the NHCC 'acted deliberately and with malice' by denying her severance and salary payments starting June 1 after the state government had assumed control of the NUMC, Ryan's attorney Alex Hartzband wrote in the claim.
4 The Board of Directors that replaced Ryan and 9 other health care executives had voted to terminate her employment for 'cause,' claiming she made 'excessive termination payments' to herself and the other NHCC employees.
Stefano Giovannini
The board of directors that replaced Ryan and nine other health care executives had voted to terminate her employment for 'cause,' claiming she made 'excessive termination payments' to herself and the other NHCC employees after announcing she would resign.
Her resignation letter was rejected by Becker, who promptly fired her in a late June letter that was reported by Newsday shortly after.
'During my time as President and CEO of NHCC, we expanded services, improved quality of care, and reduced expenses. We demonstrated that, if not for the State's malfeasance, the hospital was financially viable,' Ryan said.
4 In May, Hochul had approved a budget bill with a provision that imposed state control of the NHCC's board with Becker, Rabinowitz and Kessel and other state appointees.
Gabriella Bass
'My top priority has always been giving people the best possible health care and protecting our dedicated employees.'
Attorneys for Ryan are prepared to argue in a forthcoming lawsuit that the payments were permissible and accrued from unused paid time off.
They also allege she's being targeted for leading an earlier lawsuit against NHCC last December that sought to recoup more than $1 billion in Medicaid funding allegedly withheld from the public hospital the corporation oversees, NUMC, over two decades.
4 Until Ryan and other executives uncovered it, NUMC, the only public hospital in the county with around 80% of its 275,000 patients uninsured, had been forced to pay New York's percentage of FMAP funding.
Stefano Giovannini
House Republicans last week launched an investigation into the purported 'fiscal coverup' by Hochul done to boost a billion-dollar budget deficit that 'has forced local governments to increase property taxes and cut local services.'
In May, Hochul had approved a budget bill with a provision that imposed state control of the NHCC's board with Becker, Rabinowitz and Kessel and other state appointees.
Kessel had previously been appointed by Hochul to serve as director and chair of the Nassau County Interim Finance Authority.
Rabinowitz was previously appointed to the state State Gaming Facility Location Board and once served as president of Hofstra University.
Becker served as deputy secretary for health and human services under former Gov. Andrew Cuomo.
NHCC has since let go attorneys representing it in the Medicaid lawsuit against the state and filed for an adjournment.
Until Ryan and other executives uncovered it, NUMC, the only public hospital in the county with around 80% of its 275,000 patients uninsured, had been forced to pay the state's percentage of Federal Medical Assistance Percentage (FMAP) funding, the December lawsuit alleged.
'Ms. Ryan did absolutely nothing wrong,' Hartzband told The Post. 'The payments she authorized were permissible under hospital policy and consistent with years of established practice by the CEOs who preceded her.'
He also accused the new NHCC leadership of fomenting a 'shameless media campaign' to defame her.
Reps for Hochul's office and NHCC did not immediately respond to a request for comment.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Bloomberg
25 minutes ago
- Bloomberg
A $50 Billion Slush Fund Won't Save Rural Hospitals
Republicans' 'Big, Beautiful Bill' might not have passed absent an 11th-hour provision. Worried that cutting almost $1 trillion from Medicaid might hurt rural hospitals, some lawmakers demanded a special subsidy to keep them afloat. What resulted was something of a slush fund. The 'rural hospital transformation program' allocates $50 billion toward state grants. Its requirements to participate are broad, to say the least. Half the funds will be given to states that submit a plan to 'transform' rural health care. The rest will be disbursed at the administration's discretion. Perplexingly, there's no requirement that grants actually go to rural hospitals.
Business Insider
3 hours ago
- Business Insider
CNC Lawsuit Alert! Class Action Lawsuit Against Centene Corporation
A class action lawsuit was filed against Centene Corp. (CNC) by Levi & Korsinsky on July 9, 2025. The plaintiffs (shareholders) alleged that they bought CNC stock at artificially inflated prices between December 12, 2024, and June 30, 2025 (Class Period) and are now seeking compensation for their financial losses. Investors who bought Centene stock during that period can click here to learn about joining the lawsuit. Elevate Your Investing Strategy: Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence. Centene is a healthcare company that provides a wide range of managed healthcare services, primarily focusing on government-sponsored programs. The company operates through various segments, including Medicaid, Medicare, and Health Insurance Marketplace programs. The company's claims about its enrollment and morbidity rates are at the heart of the current complaint. Centene's Misleading Claims According to the lawsuit, Centene and two of its senior officers and/or directors (the Defendants) repeatedly made false and misleading public statements throughout the Class Period. In particular, they are accused of omitting truthful information about the company's revenue outlook and growth from SEC filings and related material. During the Class Period, the defendants consistently reiterated the company's strong performance. For instance, in a press release, the CEO stated that over the last three years, Centene's core operations had improved and the company had invested in enhancing both customer and provider experiences. Additionally, Centene reiterated its FY24 adjusted diluted earnings per share (EPS) guidance of more than $6.80. The company also issued its FY25 adjusted diluted EPS guidance of more than $7.25, representing more than 6% year-over-year growth. Additionally, during an earnings call held on February 4, the CEO mentioned that Centene had raised its FY25 sales guidance by $4 billion, backed by better-than-expected results during the Medicare annual enrollment period and a program expansion in Medicaid. Furthermore, in a press release dated April 25, 2025, the CEO stated that Centene's first-quarter results demonstrate the resiliency of its platform and the company's progress amid a dynamic policy landscape. The CEO again reiterated the Fiscal 2025 adjusted diluted EPS outlook of more than $7.25, while the company continued to see attractive opportunities for growth from the strength of its core businesses in the future. However, subsequent events (detailed below) reveal that the defendants failed to inform investors about the true state of Centene's revenue and growth potential. Plaintiffs' Arguments The plaintiffs maintain that the defendants deceived investors by lying and withholding critical information about the company's prospects during the Class Period. Importantly, the defendants are accused of misleading investors about the company's growth prospects in the coming years. The information became clear on July 1, 2025, when Centene withdrew its fiscal 2025 guidance for GAAP and adjusted diluted EPS. Following an analysis of the 2025 Health Insurance Marketplace, Centene's overall market growth across 22 states, representing 72% of the company's marketplace membership, was lower than expected. In pertinent part, the company stated that this preliminary analysis resulted in a reduction of its previously issued guidance to approximately $1.8 billion or an adjusted diluted EPS of $2.75. Following the news, CNC stock plunged by 40.4% on July 2. The news also prompted Wall Street analysts to downgrade the stock and slash their price targets on CNC shares. To conclude, the defendants misled investors about the true state of Centene's enrollment and morbidity rates, and the impact these had on the company's revenue and growth prospects. Due to these issues, CNC stock has lost nearly 53% so far this year.
Newsweek
9 hours ago
- Newsweek
Iowa Democrat Drops Out of Senate Race, Endorses Rival
Based on facts, either observed and verified firsthand by the reporter, or reported and verified from knowledgeable sources. Newsweek AI is in beta. Translations may contain inaccuracies—please refer to the original content. Iowa Democratic Representative J.D. Scholten announced Monday that he is suspending his 2026 U.S. Senate campaign and endorsing fellow Democratic legislator Josh Turek in the primary race to potentially challenge Republican Senator Joni Ernst. Newsweek reached out to Scholten via email on Monday for comment. Why It Matters Scholten's endorsement consolidates Democratic support around healthcare advocacy, with Turek bringing a personal perspective to the issue. The two-time Paralympic gold medalist said his family relied on public assistance programs like Medicaid, as well as Iowa's Area Education Agencies and free summer lunch program as he was growing up, having gone through 21 surgeries by the age of 12 for spina bifida, according to his official campaign biography. The 2026 Iowa Senate race represents a critical opportunity for Democrats in a state that has shifted increasingly Republican in recent cycles. Senator Ernst's response to healthcare concerns has become a focal point for Democratic challengers seeking to make the race competitive. An important update 👉 Today I'm suspending my campaign and endorsing Josh Turek. We can't sit by while healthcare is ripped from millions of Americans and there's no better Democrat in Iowa to hold Joni to account for her cruelty than my friend fighter State Rep. Josh Turek. — J.D. Scholten (@JDScholten) August 18, 2025 What To Know Scholten, a Sioux City Democrat, entered the race in June after Ernst sparked controversy for responding to comments at a town hall about Medicaid cuts. "People are not ... well, we all are going to die," the senator said in part. Ernst's office later clarified to news outlets that she was attempting to make a broader philosophical point about mortality, not specifically about Medicaid policy. Turek, a Democrat from Council Bluffs, launched his campaign on Tuesday. The endorsement comes as both lawmakers represent western Iowa districts and share backgrounds as athletes serving in the state legislature. Scholten, a professional baseball pitcher for the minor league Sioux City Explorers, said he and Turek share many similarities as athletes representing western Iowa at the Statehouse. The Democratic primary field remains crowded despite Scholten's exit. Iowa Senator Zach Wahls, D-Coralville, Des Moines School Board Chair Jackie Norris and Nathan Sage, former Knoxville Chamber of Commerce director, are running for the seat, alongside Turek. On the Republican side, Jim Carlin, a former state lawmaker and Joshua Smith, who has run as a Libertarian candidate in previous elections, are also campaigning for the GOP nomination. Ernst has not officially said if she plans to run for reelection in 2026, though she has told reporters an announcement would be "coming soon." She also told a GOP audience last week that Democrats can "bring it on" in the 2026 election. The lawmaker has raised nearly $1.8 million in the first half of 2025 and scheduled an October fundraiser, possibly signaling preparations for a reelection campaign, the AP reports. Early polling of the race shows the senator with a slight advantage in Iowa. A June Public Policy Polling survey found that Ernst would lead a generic Democrat by about two percentage points—45 percent to 43 percent, with 12 percent still unsure. The poll did not ask voters about specific Democratic candidates. The poll surveyed 568 Iowa voters. What People Are Saying Scholten in a statement on Monday in part: "There are still so many issues facing Iowans today, but we can't sit by while healthcare is ripped from millions of Americans. And there is no better Democrat in Iowa to talk about healthcare issues than my friend: State Rep. Josh Turek." Scholten on his endorsement decision in part: "From the very beginning, I thought a prairie populist athlete from Western Iowa would be the best candidate to win in the General election. I still do, but instead of me, I have complete confidence that Josh Turek can take this on." Turek responding to Scholten's message on X: "I am honored to have the support of J.D. Over the last several years, J.D. and I have fought alongside one another in the state legislature to lower costs for Iowa's families, to make health care more affordable and accessible, to make housing more affordable, and to make life a little bit easier and a little bit better for Iowa's families." He concluded: "We have an incredible opportunity to beat Joni Ernst in 2026, and I'm proud to join forces with J.D." JD Scholten, running for congress in Iowa's 4th Congressional District against Steve King, waves to supporters outside the Wing Ding Dinner on August 9, 2019 in Clear Lake, Iowa. JD Scholten, running for congress in Iowa's 4th Congressional District against Steve King, waves to supporters outside the Wing Ding Dinner on August 9, 2019 in Clear Lake, Iowa. ALEX EDELMAN/AFP via Getty Images What Happens Next? Turek and Scholten will hold an event in Council Bluffs Monday evening. Ernst is expected to formally announce her potential reelection campaign within the coming weeks. Reporting from the Associated Press contributed to this article.
