Western Dental Names New CEO
Western Dental Services Inc. said Wednesday that it named a new chief executive after the death in September of founder Dr. Robert F. Beauchamp, who was best known as the “credit dentist.”
The problem-plagued Garden Grove company, which bills itself as the nation’s largest dental HMO, said it hired Samuel H. Gruenbaum, a lawyer and public accountant, as its new chief executive.
Gruenbaum, 46, represented the company last year in its $1.7-million settlement of state charges that it provided “shoddy, dangerous” medical care through its chain of more than 100 dental clinics.
He replaces the company’s former chief executive, Robert C. Schur, who resigned this month.
“Dr. Beauchamp’s death forced the family to look very closely at the company and ask themselves where they want the company going in the future,” said Gruenbaum, who was also named a director.
“They hope I’ll lead the company by emphasizing its strengths, changing things that need change, and entering the 21st century as one of the most significant managed care companies in America.”
A former partner of the San Francisco law firm Morrison and Foerster, Gruenbaum has represented Western Dental for three years. He also has led its negotiations with government regulators since the settlement.
Gruenbaum said the company continues to work with regulators to meet the terms of the settlement. Western Dental, which is owned by Beauchamp’s five children and his widow, agreed to take more than 20 actions to improve oversight and management of its dental services and clinics.
The state also appointed an independent monitor to evaluate the company’s compliance. The settlement allowed the Beauchamp family to remain in control of Western Dental. State regulators couldn’t be reached for comment Wednesday.
In a statement, Beauchamp’s brother and company Chairman James Beauchamp said, “We are thrilled to have a professional with Sam’s character and background to assume this important leadership role in our company.”
Last year, the company became the target of a federal criminal probe into insurance-fraud allegations. A government affidavit last year disclosed that investigators were seeking evidence of widespread overbilling by Western Dental offices across the state.
Gruenbaum said he has spoken with investigators in the past few months but doesn’t know whether the investigation is continuing.
On another legal front, Western Dental has sought dismissal of some of the 100 malpractice suits on file against its dentists a year ago, Gruenbaum said. It has settled some, but he wouldn’t say how many or disclose terms.
Beauchamp earned his nickname by offering credit to patients. For decades, he riled his peers by heavily advertising his policies through radio, billboards, newspapers and later television.
