The Daily

Hospital Trickle Down

Hospitals can fail their communities when they aren’t run properly. Mismanaged finances can result in poor quality care.

Executives and board members of the Maimonides Medical Center in Brooklyn have been accused of conspiring to divert hospital resources into their own pockets at the expense of patient care and community health in a proposed $500 million class action filed Monday.

Four plaintiffs said the hospital’s shortcomings are not the fault of its staff, but rather CEO Kenneth Gibbs and the members of the hospital’s board of trustees, who are all named as defendants in the suit, which was filed in New York state court in Brooklyn.


According to the suit, Maimonides lost $179 million in 2021, and recently ranked last out of the 31 numerically ranked facilities on a U.S. News & World Report list of the best hospitals in the New York City area. The New York State Department of Health ranked Maimonides 146th on “hospital-acquired infections” and 147th on room cleanliness out of 148 ranked hospitals, and another review said the hospital scored “first in blood clots caused by neglect,” the suit said. The nonprofit Leapfrog Group has given the hospital D and F ratings for safety since 2019, according to the suit.

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