(Le Mars) — The Abbey of Le Mars, Inc. which state government officials has ordered to be closed, and other individuals with financial interests in the Abbey’s operations, agreed to pay $100,000 to settle allegations they violated the False Claims Act by submitting or causing claims to be submitted to Medicaid when the care provided to nursing facility residents was so
substandard that the care was worthless and effectively without value.
The allegations relate to care provided for sixteen residents between January 2009 and February 2015. The government alleged that the care the Abbey provided was substandard in multiple material ways:
1. Providers failed to address skin conditions and fractures, leading to inadequate care and additional medical costs;
2. Residents were subjected in the first instance to physical restraints and unnecessary medications rather than other types of interventions;
3. Providers utilized anti-psychotic medications to numb or sedate residents so as to decrease residents’ needs; and
4. Residents were not given adequate nourishment or bathing and toileting care, leading to infections and impactions necessitating emergency room visits.
The individuals signing the agreement include Leo Lenaghan, who owns the building where the Abbey operates; John Florina, Jr., who was a paid consultant to the Abbey; Janet Howe, the Abbey’s president; Don Butcher, who worked as the Abbey’s
administrator; and the Abbey’s former director of nursing, Donna Stuhrenberg.
The False Claims Act settlement agreement only resolves government claims related to the alleged submission of claims for payment to Medicaid when the services provided were worthless and effectively without value. Other government claims
are not released.
