NY, Nursing Home Owners Settle Legal Dispute Over Neglect

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The lengthy legal battle between New York State and the owners of the Van Duyn Center for Rehabilitation and Nursing in Syracuse has concluded. The nursing home's owners, Efraim Steif and Uri Koenig, will pay $12 million to settle claims of financial fraud and neglect. An investigation by the Office of the Attorney General (OAG) found that the owners received millions of taxpayer dollars intended for resident care, leaving the facility severely understaffed and resulting in unsafe conditions, hospitalizations, and deaths.

According to New York Attorney General Letitia James, $10 million of the settlement will directly fund improved resident care and staffing. Additionally, two independent monitors will oversee the nursing home's health and financial operations to ensure compliance with the settlement terms. The nursing home must also appoint a Chief Compliance Officer to implement recommendations and comply with federal and state laws.

The settlement includes a $2 million restitution to New York’s Medicaid program and prohibits the owners from closing or selling the facility for at least five years. Attorney General James emphasized the importance of holding nursing home owners accountable to protect vulnerable residents.

Residents at Van Duyn had reportedly suffered from neglect, with incidents like the case of Anne Frances Hamilton, whose family reported inadequate care following her stroke surgery. The settlement aims to restore trust and ensure better care for residents.


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