BAD NURSING HOMES: BAD MANAGEMENT and CORPORATE GREED LEADS TO HARM and ABUSE

Bad Nursing Homes Bad Management and Corporate Greed Leads To Harm and Abuse

We begin this series by emphasizing that bad management, corporate greed, and lax oversight is directly responsible for much of the harm and abuse that occurs in nursing homes.

Examples of the bad and often abhorrent conduct by owners and operators of long-term care facilities – and particularly nursing homes – follows. Let these cases lead to a call for action.

Why do certain owners and operators make the conscious decision to exploit the weak and protest any effort against meaningful oversight? Our opinion – it is about money. Make no mistake about it, there is a laser line from bad management and greed to the harm and abuses of those we love – parents, relatives, friends. More about nursing home harm and abuse.

BAD MANAGEMENT and CORPORATE GREED:
EXAMPLES OF BAD NURSING
HOME OPERATORS

“Oh, what a tangled web we weave, when first we practice to deceive!”
(Sir Walter Scott, 1808)

Skyline Management Group LLC

Based in Wood Ridge, N.J., operated over 100 nursing homes in at least 11 states. At one point, they were responsible with the care of over 7,000 seniors. The operator admitted to his role in a $38 million tax fraud scheme. A lesson not learned.

The operator admitted to Medicaid fraud and tax evasion regarding dozens of nursing homes owned in Arkansas. Although fines and prison sentences were levied, the perpetrators pocketed millions and there was significant harm and suffering by the victims and their families. Insult to injury, they were not banned from the industry.

Greedy Millionaire care Home Owner Throws Money

Phoenix Health Group

Operated in California. The owner served jail time for filing false tax returns. Among his lavish purchases at the expense of his residents were Harley-Davidson motorcycles, diamond rings, and cocaine. These facilities were cited for numerous violations regarding poor resident care.

Allied Health Services, Inc.: Formerly of Illinois: In 2018, they bought a facility. Regulators investigated but issued no violations—perhaps because the facility’s ownership was hidden under a different corporate name than the one listed. Ultimately, officials shuttered several of their facilities, ignoring the earlier concerns of the community at large.

Portopiccolo Group

A private-equity firm based in Englewood Cliffs, New Jersey. It operated over 100 facilities under various names, received a 2 (out of 5) star rating in over two-thirds (2/3rd) of its facilities as determined by the federal government (The Centers for Medicare and Medicaid Services “CMS”). In at least one facility during the COVID-19 pandemic, they reduced staff, removed amenities, that set the stage for a deadly outbreak of the virus.

LME Family Holdings

Operated in Pennsylvania. They filed for bankruptcy in 13 of their 21 facilities. The U.S. Department of Labor accused them of failing to pay wages to staff. Prosecutors further accused them of falsifying Medicaid and Medicare investigation records, which led to a criminal conviction).

Fortunately, regulators’ scrutiny of their prior ownership forced them to drop their efforts to buy facilities in Vermont. Sadly, this group still operates more than 200 facilities across a couple of dozen states.

Brius Healthcare

California, affiliated with the largest operator in California, has a checkered history, to say the least. However, they continue to grow.

Sentosa Care LLC

Based in New York, perhaps the state’s largest operator, has a long history of resident harm. In 2019, a federal judge determined that they had violated human trafficking laws when they used financial threats to coerce over 200 Filipino nurses, who were underpaid and overworked, from leaving their jobs. All recruited from the Philippines, not paid the promised wage, and threatened with monetary fines if they quit.

They also profited enormously from a facility they purchased for $3 million in 2016 and sold in 2024 for over $47 million—about $258,000 per bed.

Hidden Lake Care Center

Over a five-year period, victims and their families sued the Kansas, Missouri center at least nine times for abuse and death.

Beginning in 2020, Estates of Hidden Lake LLC has a one (out of five star) CMS rating. In 2023, they spent over $50,000.00 on fines and penalties.

Alliance Holdings

Operated in New Jersey (and, in part, at one time related to Skyline Management Group, LLC). Early in the Covid-19 Pandemic, 17 bodies were found stuffed into a tiny morgue at the facility. This led to an investigation, which led to another investigation after a variant (omicron) of the virus found them to have the highest number of long-term care COVID patient cases in the state.

Life Care Centers of America

Based in Tennessee. In 2016, paid the United States Department of Justice $145 million regarding violations of the False Claims Act.

Centers for Care, LLC

New York operator. In 2024, New York State Attorney General, Letitia James secured a $45 million settlement, as reported for “years of resident mistreatment and neglect” that “revealed significant financial fraud and chronically insufficient staffing”.

Cold Spring Hills Center for Nursing and Rehabilitation

Their management was given approval by a Bankruptcy Court to shutter. Resident safety was compromised (Woodbury, New York)

Graph Group

Based in New Jersey, several years ago they formed Graph Insurance, incorporated in Vermont. “A Risk Retention Group, Graph is a team of healthcare, insurance, and risk management experts working together to combat the rising cost of insurance in healthcare”. Now this company is facing financial hardship.

AN EXAMPLE OF HARM AND ABUSE
BEDSORES / PRESSURE ULCERS:

Louisiana Nursing Home Operator: Here is yet another example of a “bad” nursing home operator who avoided jail time. During Hurricane Ida in 2021, this owner and operator of nursing homes warehoused 800 residents in a warehouse. 15 crimes were charged – the result was a fine of $8.2 million.

On July 9, 2025, Genesis filed for bankruptcy in Federal Court, Texas, Northern District. Genesis listed more than $1 billion of debt. One might say that this is a familiar script and forum shopping. (More about judge shopping.)

AVARICE and GREED

You select a nursing home based upon trust and promises. When that trust is violated, your loved one suffers as a result, and the effect on families can be profound. This is why we fight for the rights and dignity of those harmed and abused.

Rather than investing in safer, more compassionate care, the evidence supports the conclusion that they follow a simpler strategy: create tangled webs of multi-layered corporations, and file for bankruptcy and pocket the money. The end result: harm and abuse to residents.

New York State Attorney General Letitia James has pursued some of these operators and secured monetary settlements. Financial accountability is certainly a positive result, but candidly, civil remedies alone do not appear to be enough of a deterrence.

When a nursing home violates your trust

THE CHOICE SHOULD BE SIMPLE

Too Many Nursing Homes Are Receiving Failing Grades

The plain fact remains that Too Many Nursing Homes Are Receiving Failing Grades. The cost of safety should be paramount and without hesitation, yet many of these facilities fail to provide the number one way to ensure safety – have proper staffing.

Dilapidated nursing home building

Some of the facilities either named or referenced in this post are:

  • Beth Abraham Center in the Bronx
  • Buffalo Center for Rehabilitation and Nursing
  • Excelcare at Norwood (Buckingham at Norwood)
  • Holliswood Center for Rehabilitation and Healthcare in Queens
  • Limecrest Subacute and Rehabilitation Center in Andover
  • Northern Manhattan Rehabilitation and Nursing Center in East Harlem
  • Martine Center for Rehabilitation and Nursing in Westchester County
  • Manhattanville Health Care Center in the Bronx.
  • Maison De’Ville Nursing Home
  • Premier Nursing and Rehab Center of Far Rockaway
  • Schervier Rehabilitation and Nursing Center
Adams Law Firm Nursing-Home Advocates New York

Nursing Home Advocates

If you or someone you know is grappling with a difficult situation in a nursing home, please reach out. I am here to help you navigate these challenges and to advocate for your justice.

Should you have any question, please contact us toll free at 888 MY 911 LAW (888.699.1152), or by email through our contact form here. Thank you.

Learn more about Nursing Home Abuse in New York State

Our law firm is led by New York State injury attorney Jeffrey M. Adams, who has dedicated his legal practice to protecting and promoting the rights of injured individuals.

For over a half century, we have represented victims of dental malpractice, nursing home abuse and neglect, personal injury accidents and families of wrongful death victims. Our extensive experience enables us to quickly and effectively evaluate cases to determine their merit. Known throughout the legal community and insurance industry as a straight shooter, Mr. Adams provides honest case appraisals and educates his clients about their cases, enabling them to make informed decisions.

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New York State and Northern New Jersey Nursing Home Abuse and Neglect Advocates

If you or someone you know is injured, please consider contacting Adams Law Firm, P.C. We have a successfully advocated on behalf of those injured due to harm, abuse and neglect throughout New York State and Northern New Jersey.

Legal fee only upon a successful result.



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