Ex-hospital chief of staff pleads not guilty to embezzling $220,000
A prominent Newport Beach doctor pleaded not guilty Thursday to accusations that he stole $220,000 from a hospital fund earmarked for charity and then dodged taxes on the illegitimate income, authorities said.
Bruce Allan Hagadorn, 56, was chief of staff at Irvine Regional Hospital until it closed in January 2009. The money allegedly was embezzled in 2009 and 2010 from funds remaining in the charitable account, according to the Orange County district attorney’s office. The account funded a nonprofit established by medical staff at Irvine Regional.
Hagadorn could face up to 10 years and four months in prison if he’s convicted on one count of felony embezzlement, eight felony counts of failing to file a tax return and accompanying sentencing enhancements.
Members of the hospital’s Medical Executive Committee voted to donate money remaining in the account to the Hoag Hospital Foundation, according to the district attorney’s office.
Instead, authorities allege, Hagadorn wrote checks from the account, cashed them and deposited the money into an account for his personal practice, Canyon Pacific OB/GYN in Irvine.
According to the district attorney’s office, Hagadorn did not report that income on his personal state tax returns from 2008 to 2010 and on his business tax returns from 2009 to 2013.
He is free on $200,000 bail, according to authorities.
He did not immediately respond to a message left with his answering service.