The alleged: Paul Levy, former CEO

The place: Beth Israel Deaconess Medical Center in Boston, Mass.

The "crime:" Paul Levy made last year's list of notorious healthcare execs, but Levy once again made headlines in 2011 when he announced his resignation in January. Called a "negotiated departure" between Levy and the renowned Beth Israel Deaconess Medical Center, the CEO left after the fallout of an anonymous letter that alerted the hospital board about Levy's now infamous "inappropriate relationship" with a female subordinate in April 2010. It was later discovered that the woman attained two positions created just for her that both ended when she left. Although her compensation fell within normal pay grades, reports indicate that she was the only non-physician director who received a bonus in four years. Levy, whose mission was patient advocacy through healthcare transparency, came to serve as a prime example of what not to do.

The verdict: Levy faced a $50,000 fine, although the hospital agreed to pay him $1.6 million (two years' salary) upon his departure, reported The Boston Globe.

By now, many in the healthcare industry have gotten over the shock of the fall from grace of arguably one of the most well-known (and to some, beloved) hospital CEOs. Some would argue that Levy's inappropriate relationship pales in comparison to the embezzlement and fraud that other CEOs have perpetrated this year. Regardless (or perhaps because of) the scandal, Levy's Not Running A Hospital blog has generated more than 1.8 million visitors, according to his website.