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Tenet Healthcare Corporation

Founders

Who Founded Tenet Healthcare?

Richard Eamer, Leonard Cohen, John Bedrosian · Founded 1969 · HQ today: Dallas, Texas

Who founded Tenet Healthcare?

Tenet Healthcare was founded by Richard Eamer, Leonard Cohen, John Bedrosian in 1969. It is now led by Saum Sutaria.

Founders
Richard Eamer, Leonard Cohen, John Bedrosian
Founded
1969
Headquarters
Dallas, Texas
Number of founders
3
Current CEO
Saum Sutaria (since 2019)
Where was Tenet Healthcare founded?
Tenet Healthcare was founded in Los Angeles, California, United States in 1969.
When was Tenet Healthcare founded?
Tenet Healthcare was founded in 1969.
Who started Tenet Healthcare?
Tenet Healthcare was founded by Richard Eamer, Leonard Cohen and John Bedrosian.
How old is Tenet Healthcare?
Tenet Healthcare is 57 years old as of 2026.

Founding Story

In 1981, Oral Roberts opened the City of Faith Medical Center in Tulsa, Oklahoma, a $80 million facility attached to his evangelical university, conceived as a place where prayer and medicine would operate together. The hospital struggled from the first year. Demand never matched the ambition. By 1987, Roberts' organization was selling assets to stay solvent, and a hospital company called National Medical Enterprises acquired parts of the City of Faith infrastructure for prices that reflected the financial desperation of the seller. National Medical Enterprises itself was not a clean acquirer. By the early 1990s, NME faced federal investigations into Medicare and Medicaid billing fraud at its psychiatric hospital chain, a scandal that produced criminal convictions and ultimately forced the company into settlement negotiations with the US Department of Justice. The liability that came with NME's history transferred directly to the successor entity. In 1995, NME merged with American Medical International to form Tenet Healthcare Corporation. The combined company inherited balance sheet stress, regulatory scrutiny, and operational challenges from both sides of the merger. Management spent the next decade navigating fraud settlements and trying to stabilize a hospital network built on acquisitions that had not always been executed with discipline. The 2006 Medicare fraud settlement cost $900 million and forced a reckoning about how the company was structured. The 2014 acquisition of controlling stakes in United Surgical Partners International, the USPI ambulatory surgery center business, marked the beginning of a different strategy: lower-cost outpatient settings, higher-acuity procedures, and the gradual reduction of dependence on inpatient hospital volumes that carry heavy fixed-cost structures.

Richard Eamer

Co-founder 1969

Background

American attorney and healthcare executive.

Role at Tenet Healthcare Corporation

Richard Eamer co-founded National Medical Enterprises (NME) in 1969, which later became Tenet Healthcare. A trained attorney, he aggressively drove the company's incredibly rapid, early expansion, heavily utilizing complex financial leverage to acquire dozens of hospitals across the United States before being forced out during a massive psychiatric billing scandal in 1993. Richard Eamer was born in 1928.

Leonard Cohen

Co-founder 1969

Background

American healthcare executive.

Role at Tenet Healthcare Corporation

Leonard Cohen co-founded National Medical Enterprises in 1969. Serving alongside Eamer, he managed the absolutely critical operational integration of the massive, rapidly acquired hospital networks, ensuring the highly decentralized facilities could function under a single corporate umbrella. (Exact birth year remains publicly undisclosed).

John Bedrosian

Co-founder 1969

Background

American healthcare executive.

Role at Tenet Healthcare Corporation

John Bedrosian co-founded National Medical Enterprises in 1969. He acted as the primary architect for the company's highly aggressive regulatory strategy, fiercely navigating the incredibly complex, state-by-state hospital licensing laws required to scale the corporation nationally. (Exact birth year remains publicly undisclosed).

Tenet Healthcare Corporation: CEO & Leadership History

Full timeline →

Saum Sutaria

Chairman and Chief Executive Officer

2019 – Present

CEO since 2021 and chairman, Sutaria has expanded USPI's ambulatory surgery footprint, sold non-core hospitals, reduced debt and returned capital through buybacks, lifting the consolidated adjusted EBITDA margin to 21.4% in 2025.

Ronald A. Rittenmeyer

Executive Chairman and Chief Executive Officer

2017 – 2021

He cut costs and expanded the USPI surgery-centre business. Saum Sutaria succeeded him as chief executive in September 2021.

Trevor Fetter

Chief Executive Officer

2003 – 2017

Fetter was appointed CEO in the aftermath of the devastating $900 million Medicare fraud settlement, and he led the agonizing, decade-long process of cultural transformation, operational turnaround, and financial deleveraging that eventually stabilized the company and rebuilt its reputation as a disciplined healthcare operator.

Jeffrey Barbakow

Chief Executive Officer

1993 – 2003

Barbakow orchestrated the 1995 merger between National Medical Enterprises and American Medical International, creating the modern Tenet Healthcare Corporation, but his tenure was later marked by intense regulatory scrutiny and billing scandals that forced his resignation in 2005.

Keep researching Tenet Healthcare

Who Founded Tenet Healthcare? FAQ

Who were the founders of Tenet Healthcare's predecessor, National Medical Enterprises?

Tenet Healthcare traces its origins to 1969 when attorneys Richard K. Eamer, Leonard Cohen, and John C. Bedrosian founded National Medical Enterprises (NME) in Los Angeles, California.

What was Richard K. Eamer's background and role in founding NME?

Richard K. Eamer (1928–2013) was a tax attorney and certified public accountant who recognized that the 1965 creation of Medicare and Medicaid would generate immense, guaranteed demand for modernized private hospital care, prompting him to co-found NME and serve as its CEO.

Who was Leonard Cohen and what was his contribution to NME?

Leonard Cohen was an attorney and business strategist who co-founded NME, serving as President and Chief Operating Officer during the 1970s and 1980s, steering hospital acquisitions and real estate financing.

Who was John C. Bedrosian and what was his role in the healthcare industry?

John C. Bedrosian was an attorney and co-founder of NME who led government relations, public policy, and legal affairs. He served as president of the Federation of American Health Systems, advocating for investor-owned hospital chains nationwide.

What was the founders' original business model in 1969?

The founders started by buying four community hospitals and a nursing home in California, standardizing billing, purchasing supplies in bulk, and professionalizing hospital administration to generate healthy profits from Medicare reimbursement.

How did the introduction of Medicare in 1965 inspire the founders?

Prior to 1965, most hospitals were non-profit or municipal charities operating on shoestring budgets. Medicare guaranteed federal fee-for-service reimbursement for elderly patients, creating a reliable financial model for investor-owned hospital systems.

What was NME's headquarters and corporate environment in California?

NME established an iconic corporate campus in Santa Monica, California, fostering an entrepreneurial corporate culture that decentralized hospital management across regional operating divisions.

Why did the original founders leave the company in 1993?

Following widespread federal investigations and congressional hearings into fraudulent billing practices at NME's psychiatric hospital subsidiary, Richard Eamer and Leonard Cohen resigned under board pressure in 1993.

What was American Medical International (AMI) and who founded it?

AMI, which merged with NME in 1995 to form Tenet, was founded in 1956 in California by Dr. Uranus J. Appel as one of the very first investor-owned hospital management companies in American history.

What lasting impact did the founders have on the modern hospital industry?

The founders proved that private capital could build modern, well-equipped hospitals and surgery centers at scale, establishing operational models that today's leading hospital networks continue to follow.

How did the founders contribute to medical education and philanthropy?

The founders donated generously to academic institutions, including John Bedrosian's endowment of the USC Bedrosian Center on Governance and the Enterprise at the University of Southern California.

How does modern Tenet Healthcare view the legacy of its founders?

While acknowledging early regulatory missteps, modern Tenet views the founders as pioneering visionaries who catalyzed the modernization and corporatization of American acute care hospital infrastructure.

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Content is for informational purposes only. Not financial advice. Data sourced from SEC filings, annual reports, and public records. See our full disclaimer and methodology.