Last week, a lawsuit was filed against a California man who owns 57 skilled nursing facilities across the state. The allegations include “fraud, unfair business practices, and violations of residents’ rights by intentionally misrepresenting the quality of services and care provided.”
The lawsuit is the culmination of an almost 4-year long investigation of the company’s facilities. The nursing facilities were frequently understaffed and underfunded, and the suit alleges that the owner and his corporate entities intentionally hid the history of violations of nursing industry laws and regulations.
In addition to addressing the issues in the nearly 60 nursing facilities involved, this case highlights a risk with for-profit ownership of skilled nursing facilities.
The Executive Director of the California Advocates for Nursing Home Reform knows that nursing home conditions are a big problem. When speaking about for-profit ownership of nursing facilities, the Director warned, “their allegiance is to the investors, not to the (nursing home) residents.”
Nursing home abuse is a serious issue, which becomes exponentially worse when profits become more important than caring for the residents.
Source: Greg Yee, “Lawsuit filed against owner of 57 California nursing homes,” Press-Telegram, October 11, 2014.