Former HMC President Pays Back $860,000 for Overcompensation
HOLYOKE — Hank Porten, former president of Holyoke Medical Center, paid back $860,000 to the hospital this week to cover overpayment for consultant services and other errors over the past three years, hospital officials told the Republican.
Current President and CEO Spiros Hatiras, who took over for Porten in October 2013, said the hospital had an agreement to pay Porten for three years as a consultant, which Hatiras soon decided was necessary. As of March, Porten had been paid $151,356, but “no work product was produced,” according to the Form 990 the hospital files annually with the Internal Revenue Service. “Additionally, the balance of the agreement has been cancelled, and no future payments will be made under this agreement,” the Form 990 said.
A review by hospital officials determined Porten had also been overpaid for his pension ($395,336), cost-of-living increases ($121,781), and vacation time ($175,737) from 2011 to 2013.
Holyoke Medical Center, which employs 1,193 people, including 380 physicians, has an annual operating budget of $124 million. About 73% of its patients receive Medicare, Medicaid, or another government-payer benefit.