Former University Health workers sue over firings after reporting 'illegally installed' fire alarm system

Lawsuit alleges hospital system engaged in 'cover up' after employees alerted officials to issues with subcontractor's work

Published on Mar. 5, 2026

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Two former employees of University Health in San Antonio have filed a lawsuit alleging they were fired for reporting that a fire alarm installation project was carried out by unlicensed workers and was 'dangerously defective.' The lawsuit claims University Health 'engaged in efforts to cover up' the issues after the employees alerted officials, and that the hospital system made misrepresentations to regulators about the project's compliance.

Why it matters

This case raises serious concerns about public safety and transparency at a major healthcare institution. If the allegations are true, it suggests University Health prioritized appearances over addressing critical life-safety deficiencies, potentially putting patients and staff at risk. The whistleblower lawsuit also highlights the challenges employees can face in reporting wrongdoing, even when public health and safety are at stake.

The details

According to the lawsuit, University Health undertook a fire alarm system replacement project in 2020 on two of its buildings in the South Texas Medical Center. The work was performed by a subcontractor, Texas Lighting LLC, which the lawsuit claims used unlicensed workers in violation of state law. The two former employees, Matthew Akes and Wade Phillips, allege they documented numerous deficiencies with the subcontractor's work, including incorrectly wired devices, exposed and damaged wiring, and smoke detectors removed without triggering alerts. They claim they reported these issues to at least seven University Health officials, but a meeting with the CEO was never granted.

  • In August 2020, University Health undertook the fire alarm system replacement project on its Rio and Horizon towers.
  • By July 31, 2025, the hospital system was required to remediate some 'life-safety deficiencies,' including the fire alarm system, per a waiver granted by the Joint Commission.
  • In spring 2022, Akes and Phillips began reporting the alleged issues with the fire alarm installation to University Health officials.
  • In October 2022, Akes and Phillips made a report to the State Fire Marshal's Office.
  • On December 18, 2022, University Health fired Akes and Phillips.

The players

University Health

A major healthcare system in San Antonio, Texas that operates University Hospital and other medical facilities.

Matthew Akes

Former director of regulatory oversight at University Health who was fired after reporting issues with the fire alarm installation project.

Wade Phillips

Former director of facilities management at University Health who was fired after reporting issues with the fire alarm installation project.

Edward Banos

CEO and president of University Health.

Texas Lighting LLC

The subcontractor that performed the fire alarm installation work at University Health's facilities.

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What they’re saying

“It's a really concerning thing because the health and safety of thousands of patients is at stake here.”

— Charles Riley, San Antonio lawyer representing Akes and Phillips (San Antonio Express-News)

“We have done our part. We have done everything that we can possibly do to do this correctly.”

— Josh Hawk, Owner of Texas Lighting LLC (San Antonio Express-News)

What’s next

The State Fire Marshal's Office investigation into the fire alarm system issues at University Health is still ongoing, and a final report has not yet been completed.

The takeaway

This case highlights the critical importance of transparency and accountability in healthcare institutions, where patient safety should be the top priority. The allegations raise troubling questions about whether University Health prioritized appearances over addressing legitimate safety concerns raised by its own employees.