A U.S. Senator is reacting to a report that troubled healthcare provider Steward Health Care is now facing a federal investigation.

CBS is reporting that Steward Health Care is facing various allegations of fraud and violations of the Foreign Corrupt Practices Act. 

"The 1977 Act was essentially enacted to make it unlawful for certain classes or entities to make payments to foreign government officials or assist in obtaining or retaining any business," explained Madeline Ashley with Becker's Hospital Review.

Steward owns 31 hospitals across the US and includes three here in the Mahoning and Shenango Valleys.

This follows a failed attempt to expand coverage to run three hospitals in Malta, which, according to CBS, is now at the center of a criminal corruption probe.

According to the CBS report, federal prosecutors at the U.S. Attorney's Office in Boston are allegedly investigating the healthcare provider over the law prohibiting "U.S. citizens and entities from engaging in corrupt activities when operating overseas."

The Foreign Corrupt Practices Act of 1977, as amended, "was enacted for the purpose of making it unlawful for certain classes of persons and entities to make payments to foreign government officials to assist in obtaining or retaining business."

"That deal is now a part of a criminal corruption probe," Ashley added. "As it's been reported, Steward and its executives have not been charged in connection but that is something to watch as well."

Steward filed for bankruptcy in May and has been looking to sell its assets at auction, which has been delayed. 

"They were banking on being sold, but that deal recently fell through," Ashley said. "So, there's just a lot going on and a lot of unknown."

21 News reached out to Steward for comment on the investigation but has not received an official statement yet. 

Massachusetts-based U.S. Senator Edward Markey issued the following statement regarding the situation:

“Instead of embracing the obligation to provide safe, high-quality care to people and communities, too many greedy CEOs view the health care system as their piggy bank."

“Led by Dr. Ralph de la Torre, Steward is just the latest example of corporate greed endangering our health system. Whether in Massachusetts or Malta, Dr. de la Torre used his credentials as a physician and CEO to sell Steward as a healthcare savior. Instead, he and his corporate enablers in private equity and real estate hollowed out a health system as they lined their pockets. Steward must be investigated, and I hope the company and the corporate executives who facilitated Steward's actions face consequences that reflect the lives, livelihoods, safety, and security that they stole from communities."

“To guarantee that what Steward has done doesn’t happen again, we need guardrails that protect communities from the risk of harm that corporate greed inflicts. That is why I will be introducing legislation that would move us toward systemic reform where CEOs and corporate investors cannot place their profit motive above the well-being of patients, providers, and communities. We need a health care system, not a wealth care system.”