Bad Nursing Homes and The Bad Men Who Run Them
“Oh, what a tangled web we weave, when first we practice to deceive!”
(Sir Walter Scott, 1808)
(Updated May 5, 2025): Several years ago, we first wrote about some of the “bad men” who own and operate nursing homes. Highlighted were numerous abuses by some of the operators of long-term care facilities – and, in particular, nursing homes. My aim was to bring attention to the harm and abuse suffered by the residents of these facilities.
Since then, the situation has further deteriorated. Many of these operators continue to exploit weak oversight and resist any effort toward meaningful reform. The mantra seems to be straightforward: spend money lobbying against change, as opposed to working to improve the well-being and safety of their residents.
One of the Main Culprits
Skyline Management Group LLC: Owner and operator of numerous nursing homes in at least 11 states, has admitted to there role in a $38 million tax fraud scheme.
More recently, they admitted to Medicaid fraud and tax evasion regarding dozens of nursing homes owned in Arkansas.
Sure, fines were paid and there was some prison time, but we submit that this is a small price to pay for the millions and millions of dollars reaped by the owner/operator(s), and the irreversible harm and suffering caused to victims and their families remains. Insult to injury – to our knowledge – they are not prevented from reentering the industry and once again doing the same.
Why Is not More Done to Prevent This
Avarice and Greed
Rather than investing in safer, more compassionate care, the evidence supports the conclusion that they follow a simpler strategy: pocket the money. The end result: harm and abuse to residents.
You select a nursing home based upon trust and promises. It is horrifying that when that trust is broken, and your loved one suffers as a result. Experience has driven home the profound effect on families and their loved ones. This is why I fight for the rights and dignity of those harmed and abused.
We followed up our original blog with further examples of financial greed and avarice.
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.
The Eye of the Storm
One of the “big players” in the nursing home industry is the Philipson Family LLC. Several years ago, they formed Graph Insurance, RRG LLC. Its stated purpose was to provide general and professional liability coverage to its nursing home customers. Now this company is facing financial hardship.
The question we ask, was the money earned spent to help improve the lives of nursing home residents or to enrich the owners of this company?
Additionally, Cold Spring Hills Center for Nursing and Rehabilitation, Woodbury, New York, was recently giving approval by a Bankruptcy Court to shutter. Among the questions here, is whether this is somehow connected to an investigation being conducted by AG James?
Not surprisingly, by no less shocking, is the fact that there is a history of documented harm attributed to these characters. Sentosa Care, founded by other notorious operators, paid fines on no less than 20 occasions by federal agencies more than 10 years ago.
Here is another example of a “bad” nursing home operator who avoided jail. During Hurricane Ida who left 800 of his residents in a warehouse. Charged with multiple crimes, the “punishment” was simply a fine.
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.
