Owners interested in selling cash-strapped hospitalBy Stephen Dawkins Published 2:58pm Friday, September 21, 2012
James Cheek, former president of Carraway, and Herschel Breig, former Carraway executive vice president, are serving five-year prison sentences after being found guilty of hiding about $5 million that should have been paid to cover employee payroll taxes at a hospital in Lubbock, Texas.
Upon James Cheek’s imprisonment, his brother, Ted Cheek, was named president of Carraway. He works out of an office across from CMC off Lay Dam Road.
Last month, CMC employee Scott Cheek was arrested by Hempstead County (Ark.) Sheriff’s Department officers with the help of Clanton Police. Cheek was accused of illegally transferring hospital beds from a Carraway-owned facility in Hope, Ark. to CMC.
Cheek, the nephew of James Cheek and Ted Cheek, was maintenance supervisor at both hospitals at the time of the transfer, Chapin said last month.