Although Robert Evans, former chief executive officer and president of Bayonne Medical Center, said last week he is unaware of a federal probe into bonuses he authorized in 2004 and 2005, a statement from an attorney representing Heather Aaron, vice president of finance under Evans, said she has been questioned by the FBI.

Aaron is not the target of the investigation said Gary Herschman, Aaron's attorney.

"Ms. Aaron has been interviewed by agents of the Federal Bureau of Investigation and the United States Department of Health and Human Services Office of Inspector General with respect to Bayonne Medical Center's financial procedures as they relate to bonus and expense payments received by Robert Evans and his wife, Carrie Evans, who was Bayonne Medical Center's vice president for administration," Herschman said in a letter to the Bergen Regional Medical Center where Aaron was seeking a position.

BMC officials said they alerted the FBI after Evans resigned last November, citing some questions about the finances.

"It was BMC that went to the federal authorities and initiated the investigation after discovering some irregularities after Evans left," said Paul Swibinski, spokesperson for BMC.

Swibinski's firm, issued a statement from BMC CEO Marvin Aspel.

"Following Evans's departure from Bayonne Medical Center, we discovered certain issues we felt needed to be shared with federal authorities," Aspel said in this statement. "We are aware there is an ongoing federal investigation and we have indicated our willingness to cooperate fully."

Swibinski said BMC attorneys do not wish to make additional comments.

Although 2005 financial records are not available, records for 2004 show that Evans saw a hefty increase in salary and benefits from the previous year.

In 2003, Evans made $289,418 in salary and received $5,546 in benefit plan contributions. In 2004, his salary was $306,386 and benefits at $85,900.

In 2002, Evan's salary was $375,696 with benefits of $8,505.

Aaron was apparently asked to supply information about bonuses given to all senior executives at the hospital during 2004 and 2005.

According to Herschman, Evans determined these bonuses after setting goals for each of the BMC's top executives.

"He would determine the executives' bonus amount in accord with the realization of those objectives," Herschman wrote. "Bonuses were received by all senior executives at the level of vice president and above. All personal files for senior executives were kept in Mr. Evans' office under his control."

All bonuses, including Evans', were paid by checks signed by Evans.

Evans, when contacted for future information about the investigation and the procedures, said he had no comment.

Coalition members are not surprised

Members of the Coalition to Save Bayonne Medical Center, which formed last year when problems began to surface, said the federal probe was no surprise.

Jeanne Otersen, a member of the coalition and a spokesperson for the Health Professional and Allied Employees (HPAE) union, said the details of the investigation came to light when Aaron sought to become chief executive officer at Bergen Regional Medical Center.

The HPAE represents workers in both BMC and BRMC.

Mary Jane Desmond, spokesperson for the Coalition to Save Bayonne Medical Center, said she was not surprised by the investigation.

"The fact that the Board has targeted Rob Evans as part of a Federal Investigation clearly conveys that they share many of the concerns the Coalition has long voiced," she said.

But she also attributed the delay in seeking answers to the New Jersey Commissioner of Health, Dr. Fred M. Jacobs, from whom the coalition members asked help last August.

"Unfortunately, the commissioner of health never followed through on several items. He never completely answered physician inquiries regarding specific clinical concerns. He never took seriously the request for a monitor, therefore we still do not have one," Desmond said. "At this point in time, it is glaringly obvious that a monitor would have been and still is appropriate. There is negligence of fiduciary responsibilities at many levels. The community is left frantic wondering who is to be trusted with the oversight of fiscal and managerial operations of BMC."

Desmond said a monitor might have been able to halt the continued reduction in services and provide a health care needs assessment for the area serviced by BMC.

In addition, the coalition believes the state needs to review the terms and conditions that allowed for the purchase of St. Vincent's Hospital (renamed Richmond University Medical Center) on Staten Island and to open the books that would allow the community to scrutinize the finances of both BMC operations and the purchase.

"A majority of this should be answered by the commissioner of health. His indifference and denial of an existing problem has been a huge disappointment and has left BMC and the community at grave risk," Desmond said, noting that along with wanting coalition representation on the BMC board, the coalition would also want representatives on Bridge Regional Board - the body that oversees both BMC and Richmond University Medical Center - as well as on the search committee for a new permanent CEO for BMC to replace Evans. Desmond said the coalition wants "participation and influence" in producing and implementing a turn around plan.

"I believe that the community looks to the health care workers and physicians to communicate that the facility is worth saving. That quality healthcare is provided there, despite the fact that tremendous change must occur in the governance and administration of this facility," she said. "Support of the facility and its place in our community is the only way financial institutions will even consider making an investment in its survival and future. That is why working together is key. Concessions are key, not from the union, but from the governing board moving forward. The only way to save BMC is to make it grow, in admissions, services, medical staff and health care workers and keeping current with vendor payments. Not by layoffs, cutbacks and renegotiating union contracts. We need help from Trenton, and Mayor Doria has been tremendous and even miraculous in his efforts. I believe more is needed from the commissioner of health."

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