Employee Passing Away and Leadership Wants to Share Details of His Health Condition [NY]

We have an employee who has been experiencing extreme health conditions on top of his (widely known about) cancer. It seems this is too much for his body and he was placed in palliative care and is expected to pass away... at some point.

His work is being transitioned but one leader in particular is adamant about wanting to share details about his situation that I feel violate PHI best practices (we are not bound by HIPAA) and most certainly violates ADA regulations.

My suggestion has been to send a message indicating that he is experiencing some health issues and will be away from work for some time, and encouraging those who wish to do so to reach out to him.

I think their thought is that this is a close team and they want people to be able to say goodbyes while they can.

My suggestion is not satisfactory for this leader and he's called a meeting to further discuss this today.

Am I in the wrong for wanting to keep company messaging simple and broad?

Any suggestions for wording or a compromise with this leader on how to message this situation?