Court rules that former nursing home executives must pay $12 million for stealing from debt-ridden facilities

Share this article:

Two former nursing home executives were ordered to pay $12 million for misdirecting millions of dollars from two failing Rhode Island nursing homes, a federal judge ruled Thursday.

Chief U.S. District Court Judge Mary Lisi found that former executive Antonio Giordano and his ex-CFO John Montecalvo misused funds from a Department of Housing and Urban Development contract. According to a lawsuit filed by HUD in 2009, Giordano and Montecalvo diverted $4.2 million from Mount Saint Francis Health Center, located in Woonsocket, RI, and $1.8 million from Coventry Health Centers while conditions in the facilities declined steeply, the Providence Journal reported.

Lisi, who doubled the damages the defendants must pay, said she wanted to deter individuals who might be tempted to steal from publicly funded projects. The IRS also is attempting to reclaim millions from Giordano.

 

Share this article:

More in News

Hospitals in the Midwest refer patients to the broadest networks of skilled nursing facilities, study finds

Hospitals in the Midwest refer patients to the ...

Midwestern hospitals spread referrals to the greatest variety of skilled nursing facilities and tap their favorite SNFs least often, according to a recently published analysis of nationwide referral patterns.

Bill would affect pay, scheduling for some nursing home housekeeping staff

Nursing homes could face more stringent scheduling requirements for housekeeping workers and might be on the hook to compensate them for last-minute shift changes under a bill proposed in both houses of Congress.

Joint Commission adds memory care accreditation

New memory care accreditation for nursing homes encourages staff to use a flexible, problem-solving approach to care for those with dementia, according to Joint Commission guidelines.