FRAUD AND CORRUPTION IN NURSING HOMES: TEXAS STYLE
Investigators have alleged that a web of companies that oversaw nursing homes was part of a plan to cheat the government out of millions. The list of allegations includes tax evasion, healthcare fraud, money laundering, and lying to the government. Critics say the industry is ripe for abuse because regulators are kept in the dark.
Complex corporate structures are being created for nursing homes across the country, and Texas and many other states can’t keep tabs on the owners. In Texas, nursing homes are required to meet minimum financial conditions to ensure that they can provide adequate care. Just what are those conditions? The state doesn’t say. Jim Hine, former commissioner of the Texas Department of Aging and Disability Services, said it makes no sense to wait for care at a home to deteriorate. Financial monitoring would give earlier warning signals. He wanted the agency to implement financial standards for operators. A year after his departure, it still has not done so. Does your state require nursing homes to be financially stable? To have liability insurance coverage?
If the charges are true, these individuals who owned over 50 nursing homes, cheated the federal government out of millions of dollars and it residents out of the good and proper care they deserved! Read part one and part two of the investigative series from the Forth Worth Star Telegram.