Navigation Links
Charles River Laboratories International Board Member Should Use Sarbanes-Oxley Disclosure Rules in Non-Profit Role, Asserts 1199 SEIU

Union asks board member to seek restatement of Beth Israel Deaconess Medical Center audit

BOSTON, Feb. 6 /PRNewswire-USNewswire/ -- Charles River Laboratories International director Stephen Chubb should apply the same Sarbanes-Oxley standards used by Charles River Laboratories and other publicly traded companies to his role on the board of CareGroup, the parent organization of Beth Israel Deaconess Medical Center (BIDMC), according to labor group 1199 SEIU United Healthcare Workers East. Chubb is also the CEO of Massachusetts-based Matritech.

1199 SEIU asserts that board members who serve on publicly traded companies covered by Sarbanes-Oxley should apply their knowledge of Sarbanes-Oxley disclosure standards in their nonprofit roles.

Sarbanes-Oxley does not apply directly to nonprofit organizations. However, under Massachusetts law, nonprofit directors must use their specialized knowledge and experience in their role as nonprofit fiduciaries (Mass. Gen. Laws ch. 180 section 6C).

BIDMC's audit disclosures appear to commingle bad debt and charity care, a practice under scrutiny by the IRS and Congress. Charity care is a key metric for non-profits.

If Sarbanes-Oxley were applied to nonprofit organizations, BIDMC's reporting would likely not meet the "real time" and "plain English" requirements of Sarbanes-Oxley (SOX section 409) in disclosing charity care and bad debt. Inadequate charity care disclosure may endanger a hospital's state or local tax exemptions or expose the institution to other regulatory consequences.

A letter sent to Chubb and other Sarbanes-Oxley affected members of the boards of BIDMC and its parent organization CareGroup reads, "Your breadth of experience in the private sector combined with your service on non-profit CareGroup's board of directors uniquely positions you to recognize the deficiencies in BIDMC's financial reporting." The letter asks that fiduciaries request the withdrawal and revision of BIDMC's 2005 and 2006 audits in order to meet the higher Sarbanes-Oxley standards.

"As America gets serious about healthcare reform, hospital fiduciaries need to ensure that an institution accurately discloses how much charity care it provides," said Mike Fadel, Executive Vice President of 1199 SEIU.

CareGroup is expected to issue $282 million in new debt in April 2008. CareGroup currently has $220 million of tax-exempt fixed-rate debt (CUSIP Nos. 57585JWL1, 57585JWP2, 57585KTZ1, 57585JWU1, 57585JWT4, 57585JWN7, 57585JWM9, 57585JWV9) and $340 million of tax-exempt, variable auction rate debt (CUSIP Nos. 57585JWR8, 57585JWS6, 57586CDH5, 57586CDJ1, 57586CDK8, 575851JR2, 57585JLN9, 57585JLP4) outstanding.

With over 300,000 members in Massachusetts, Maryland, Washington D.C. and New York State, 1199 SEIU United Healthcare Workers East is the largest and fastest growing health care union in the country. Our mission is to achieve affordable, high quality healthcare for all. 1199 SEIU is part of the Service Employees International Union, which has over 1.9 million members.

SOURCE 1199 SEIU United Healthcare Workers East
Copyright©2008 PR Newswire.
All rights reserved

Related medicine news :

1. MINRAD International, Inc. Announces Appointment of Charles R. Trego, Jr. to CFO & EVP
2. Groups Call On Senator Charles Schumer to Lead Senate In Strengthening Medicare
3. Charles Alan Launches Healthcare-focused Furniture Lines with NuBax Seating Technology, Offering Smart Design and Health Benefits
4. Charles S. Cohen, Pacific Design Center Augment Their Support for AIDS Walk Los Angeles
5. Ocular Pharma Company Charlesson Announces $2.35MM in New Funding
6. Charles A. Peck, M.D., F.A.C.P. Joins LifeMasters as New Medical Director Focused on Client Experience
7. DNA (driver of nicotine addiction)
8. Susan G. Komen for the Cure, U.S. Congressman Pat Tiberi, Ohio Senator Tom Niehaus, and OhioHealth Riverside Breast Health Center Call for Action on Breast Cancer
9. Three Rivers Pharmaceuticals(R), LLC Acquires Hepatitis C Drug Infergen(R) from Valeant Pharmaceuticals
10. Ruptured Pipe Spills Sewage Into Schuylkill River
11. Families Encouraged to Enjoy Healthy Kids Fest January 12 at the Blue Cross RiverRink
Post Your Comments:
(Date:11/25/2015)... ... 25, 2015 , ... Finnleo, a leader in the traditional and far-infrared sauna ... and far-infrared saunas. , For traditional saunas, Finnleo is offering 20% ... wood, and Finnleo uses only European Grade A Nordic White Spruce from sustainably grown ...
(Date:11/25/2015)... ... November 25, 2015 , ... TyloHelo Inc , North ... , Sauna accessories help improve the bather experience in the sauna, and the ... for the purist looking for simplicity in design to accessories that encourage a ...
(Date:11/25/2015)... ... November 26, 2015 , ... Ministers, senior ... (EU), ANDI Pan African Centres of Excellence, and public R&D institutions, civil societies ... the opening of the 5th African Network for Drugs and Diagnostics Innovation, ANDI, ...
(Date:11/25/2015)... ... November 25, 2015 , ... For the first time, ... Two Organizations, One Beat ” campaign. The partnership between the two groups began in ... in MAP International’s cause. , MAP International was founded in 1954 and is an ...
(Date:11/25/2015)... ... 2015 , ... Lakeview Health, a Jacksonville-based drug and alcohol ... and show through pictures what a positive difference it makes. The social media ... hashtag #FacesOfGratitude on their Facebook, Twitter, and Instagram accounts. Short stories can ...
Breaking Medicine News(10 mins):
(Date:11/25/2015)... , Nov. 25, 2015 On ... first federal bellwether trial against Wright Medical Technology, ... to their Conserve metal-on-metal hip implant device, awarded ... Following a two week trial and three days ... metal-on-metal hip device was defectively designed and unreasonably ...
(Date:11/25/2015)...  Trovagene, Inc. (NASDAQ: TROV ), a developer ... Officer Antonius Schuh, Ph.D., is scheduled to present a ... Jaffray Healthcare Conference. th Annual Piper ... in New York on Tuesday, ... will be available for one-on-one meetings during the conference. ...
(Date:11/25/2015)... , November 25, 2015 ... of self-monitoring blood glucose devices was valued at $11,171.1 ... with a CAGR of 5.7% during 2015 - 2022. ... population and increasing prevalence of diabetes. In addition, the ... care is also contributing to the growth of the ...
Breaking Medicine Technology: