A Los Angeles-based nursing home has agreed to settle a lawsuit that accused the provider of “dumping” current residents in order to bring in more COVID-19 patients. 

The city attorney’s office on Monday announced the settlement agreement with Lakeview Terrace, a 99-bed skilled nursing facility in Los Angeles. The provider agreed to pay $275,000 in penalties and costs, nearly double its nursing home staff and submit to more oversight to settle the suit, the LA Times reported.

The lawsuit, which was filed in July, alleged the facility’s aim was to increase Medicare reimbursements. It also claimed that the provider did not consult with family members before removing residents. 

Lakeview Administrator DJ Weaver said “although Lakeview disputes the underlying allegations, the costs associated with litigating against the City are most appropriately put towards resident care.” 

“Put simply, all Lakeview residents can expect the utmost in care and treatment. Residents have been, and will continue to be, Lakeview’s highest priority,” Weaver told the news organization.