Attorney General Raúl Torrez Announces Expanded Investigation into Memorial Medical Center

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Attorney General Raúl Torrez expressed deep concern about the practices at Memorial Medical Center (MMC) during a news conference on July 16, announcing an investigation into southern New Mexico’s largest hospital.

Torrez, flanked by public officials critical of the hospital and former patients who had spoken out against MMC, informed reporters that his office initially expected the investigation to be narrow, focusing primarily on claims that MMC denied service. However, as more former patients and hospital staff came forward, Torrez decided to expand the investigation.

The primary focus of the investigation is to determine if the hospital violated consumer protection laws, which are civil violations carrying monetary penalties. Torrez also mentioned sharing information with federal authorities and did not rule out the possibility of a criminal investigation.

Torrez and other officials emphasized the moral injury MMC had inflicted on Las Cruces and its patients. “I can’t think of a better way of describing the profound implications of the alleged misconduct that is taking place at the hospital,” Torrez said. “And moral injury of that type only occurs when there’s been a moral failure.”

Torrez highlighted claims that MMC refused service to people who couldn’t pay, engaged in questionable billing practices, and fostered a culture of fear among its employees. He warned hospital officials against interfering with the investigation and stated that any retaliation against employees would be dealt with severely.

“Make no mistake, anyone engaged in any form of retaliation against patients who speak out or providers who speak out will be dealt with by this office and this agency,” Torrez asserted.

In response, the hospital released a statement saying, “Memorial Medical Center was surprised to learn of this investigation by Attorney General Torrez during his press conference today. We remain committed to expanding access to care and being a good community partner in Las Cruces and Doña Ana County and will be cooperating fully with this investigation.”

MMC came under increased scrutiny following an NBC News investigation in June, which featured a dozen people who claimed the hospital denied them treatment because they couldn’t pay or had insurance the hospital refused to accept. The article also pointed out that MMC is a for-profit hospital operated by Lifepoint Health and owned by private equity firm Apollo Global Management, a model that has faced criticism for prioritizing profit over patient care.

MMC’s CEO John Harris denied the allegations during a Las Cruces City Council meeting, stating, “What has been published is not reflective of how our hospital cares for patients or how it contributes to our community.”

One key figure in the NBC News story, Barbara Quarrell, spoke to reporters about her experience. Quarrell, a former MMC nurse and longtime Las Cruces resident, was diagnosed with cancer in 2022. She said MMC rejected her for treatment almost immediately due to her insurance.

“I wasn’t probably even half a mile down the road when the doctor called me and said, ‘They’re not going to treat you because they don’t take your insurance,’” Quarrell recounted.

Torrez emphasized that the investigation would first address questions about denial of care. If the allegations are proven, MMC could face monetary fines and damages.

“We will be reaching out to our federal counterparts to engage in a deeper investigation regarding some of the billing practices that, frankly, I was unaware of until today,” Torrez said, without specifying what the concerns were.

Local officials also responded to questions about MMC as the state and potential federal investigation begins. The hospital, a significant economic driver and one of the few places offering higher levels of medical treatment in southern New Mexico, is bound by a lease agreement with the city of Las Cruces and Doña Ana County, which stipulates that MMC must provide services to indigent patients.

Las Cruces City Councilor Becky Corran said, “I think the lease is several hundred pages. And I think that we’re really committed to poring over that, understanding what role we have and working with the county to hold MMC accountable to that lease. But that process is ongoing.”

The duration of the AG’s investigation is unclear, but it signifies a new chapter in healthcare access in Las Cruces.

“The ultimate objective of an investigation like this, quite frankly, is not to secure necessarily financial penalties, but it’s about what the community wants,” Torrez said. “And what the community needs is a hospital centered on patient care.”

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