Craig Richmond has stepped down as executive vice president and director of financial and system services for MetroHealth, effective immediately, Airica Health Systems CEO Steed announced in a memo to employees. members on Wednesday, March 1.
This is the latest departure of MetroHealth leadership since the system’s board fired Dr Akram Boutros, former chairman and CEO, citing more than $1.9 million in bonuses. which the board considers illegal. Boutros asserts that he has that authority and has filed numerous lawsuits against his former employer.
Related: MetroHealth gives response on 2nd lawsuit of ousted CEO
It is unclear whether Richmond’s resignation is related to the bonus controversy.
In one of its court filings, MetroHealth claimed Richmond and Boutros were the only two employees who knew Boutros was rewarding himself through a “additional PBVC program” (Performance-Based Variable Compensation) that was being implemented. controversial. This is in response to Boutros’ statement that all senior leadership at MetroHealth attended meetings to discuss these awards, and knew and participated in the program.
“The defendants deny, based on information available to them, that any staff other than Dr Boutros and the Chief Financial Officer were aware that Dr Boutros himself was receiving compensation through the PBVC Supplemental program. ,” MetroHealth stated in response to Boutros’ lawsuit alleging character defamation, false termination and breach of contract.
When asked for comment, a MetroHealth spokesperson said the system stands by the submitted response.
This lawsuit is still being brought before the court, as well as another, in which Boutros alleges that his termination was in retaliation for raising concerns about the board’s conduct. administration in hiring his successor, including alleging violations of the open meetings law.
A third legal challenge, which he filed as an administrative appeal against his dismissal, was dismissed last month.
Richmond has served as CFO since 2014. In his memo, Steed thanked Richmond for his service to MetroHealth and the community.
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“During her tenure as CFO, MetroHealth has doubled revenue, secured financing for our ongoing campus transformation, and expanded services to patients in the community. In addition, Craig has enhanced its IT and supply chain operations and played a central role in supporting the System’s effective response to the COVID-19 pandemic,” Steed wrote. . “I would also personally like to acknowledge his leadership and support over the past few months when I joined the MetroHealth team, which has not been recognized. I wish him success in his future endeavors. “
Richmond’s departure follows the departure of Jane Platten, executive vice president and chief operating officer, who left late last year.
Trustee Terry Monnolly resigned from the board after Boutros was fired. In his resignation letter, Monnolly cited health concerns and wrote, “I believe the board has authorized Dr Boutros to take every action he has taken.”
Geoff Himes, former vice president of finance for MetroHealth, will return from retirement to serve as interim Chief Financial Officer starting Monday, March 6. His responsibilities will include all covering all areas of finance and accounting, including revenue cycles, analytics/reporting, and supply chains.
“Geoff stepped down as Vice President of Finance and Chief Financial Officer #2 at MetroHealth in 2022 and has decades of experience as a senior healthcare finance executive,” said Steed. written in memo. “He has the organizational knowledge and expertise to ensure a smooth transition, help us stay financially healthy, and meet the needs of our patients and community. .”
MetroHealth will launch a nationwide search for a permanent executive vice president/chief financial officer, according to the memo.
This story first appeared in Crain’s Cleveland Business.
