![]() The company left a wake of documented cases of extreme neglect. In March 2018, the state of Nebraska took over the Skyline facilities. The lawsuit says that as the company fell apart Nebraska staff at Skyline facilities used “their own money to pay vendors to maintain resident welfare.” Maggots and 'quality care' The lawsuit also references an expert who researched Skyline’s management structure and “expressed astonishment that such a skeletal organizational structure would undertake the acquisition of over one hundred (100) facilities across the United States.” Nebraska’s lawsuit alleges that Schwartz and his wife Rosie, who also signed state licensure documents for 22 nursing homes in the state, falsely represented the cost of running the nursing homes to the state, causing the state to pay them “inflated rates,” resulting in more than $59 million in damages to Nebraska Medicaid. In Nebraska, Attorney General Doug Peterson has filed civil charges. “I have not heard or seen anything to believe these allegations are true,” James said. ![]() Schwartz’s attorney in Arkansas, Bill James, said the former nursing home executive would aggressively fight the charges and plans to plead not guilty. Rutledge alleged Schwartz made false statements in Skyline’s monthly Medicaid cost reports to the state, causing the state to overpay the companies controlled by Schwartz by more than $3 million, a person close to the investigation said. “It’s important for Arkansans to know if they suspect Medicaid fraud, they should immediately contact my office.” “I will not sit idly by while anyone defrauds the State and Federal government out of millions of dollars to line their own pockets,” Rutledge said. Arkansas Attorney General Leslie Rutledge alleged that as it declined, the company did not just fail to pay bills but also committed fraud.
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