Owners of Nursing Home Chain Found Benefiting from Poorly-Managed Homes

When it comes to nursing homes, you would expect them to be places that are well maintained and clean. After all, these are facilities where we place our loved ones when they can no longer care for themselves. It is unfortunate that some unscrupulous owners see to their own desires before seeing to the homes they operate.

In Chattanooga, Tennessee, the owners of a Hixson nursing home business made sure that they were paid six-figure salaries. They also drove Porsche vehicles that were company-financed. They did all of this while neglecting to pay employees, utility bills, taxes, and their creditors.

Eight facilities owned by New Beginnings Care have failed inspections since December. Six of these facilities have been closed. Of those six, one included a facility in Youngstown, Ohio. At this facility, residents were discovered to be wearing adult diapers that were saturated with urine and feces.

New Beginnings will begin it’s fight in U.S. Bankruptcy Court on Friday to hold on to the seven nursing homes it still operates. This includes two care homes in Tybee Island, Georgia.

Issues that will be brought up in court will include the nearly $7 million owed in taxes. Also owed is nearly $1 million owed to the Bureau of TennCare.

If you believe that yourself or someone you care for has been the victim of nursing home abuse or neglect, contact the law offices of Schenk Smith. Our attorneys specialize in cases of nursing home abuse and neglect. Contact us today.