Jackson Health CEO says foundation embezzlement led to new oversight measures

David Zambrano, chief executive officer of Jackson Health System, told the Public Health Trust Board of Trustees during the board's televised meeting that federal authorities charged a former chief operating officer of the Jackson Health Foundation with wire fraud and money laundering connected to an alleged embezzlement scheme against the system's foundations.

Zambrano said the charges represented “egregious” allegations and that Jackson has “fully cooperated with law enforcement throughout every step of the investigation.” He added, “We have zero tolerance for unethical or illegal behavior at Jackson.”

The chief executive said Jackson discovered misappropriation of foundation funds after restructuring foundation leadership last year, reported the matter to law enforcement and terminated employees believed to be involved. Zambrano said the system has implemented additional financial controls and administrative oversight of the foundation and has brought the foundation into the health system to allow “stronger oversight and accountability.” He said bringing the foundation in‑house also reduced administrative costs and better aligns the foundation’s work with the health system’s strategy.

Zambrano asked the board to view the changes as corrective and preventive measures intended to restore trust with donors, staff and the community. “We will continue to update this board as this investigation moves along and any new developments,” he said.

Zambrano also used his report to highlight several recognitions and internal updates. He congratulated Jackson Memorial Hospital, Jackson North, Jackson South and Jackson West for receiving Practice Green Health’s Environmental Excellence awards and noted the system’s partnerships with union representatives. He also noted two staff recognitions at the Greater Miami Chamber of Commerce 2025 Healthcare Hero Awards.

Chairman, Public Health Trust Board of Trustees, said the board held an earlier closed session concerning credentialing and reported the credentials committee’s recommendation and the board’s unanimous vote to deny privileges to a particular physician; the chairman did not name the physician during the public report.

The board accepted the CEO’s report and moved on to other agenda business. The board did not provide additional public details about the alleged theft, including the amount involved or the identity of the charged former employee; those matters are being handled by federal authorities and the health system’s ongoing internal and law enforcement inquiries.