Owner of nursing homes faces larceny, conspiracy charges
January 24th, 2009 by Jennifer Walker-Journey
The larceny and conspiracy trial of a man whose family once owned one of the largest nursing homes in Dedham, Massachusetts, began this week, according to the Patriot Ledger. Gregory Logan served as the administrator of Logan Nursing & Rehabilitation Center in Braintree, one of the family’s five nursing homes. Logan and his uncles Joel K. Logan and Todd Logan were all accused of raiding patient accounts for personal use between January 2001 to June 2003.
The assistant attorney general accused the men of taking more than $600,000 of the $34 million in Medicare funds during that time while also failing to provide basic goods and services to residents of their facilities. Both pleaded guilty in July to misappropriating Medicaid funds, conspiracy, larceny, embezzlement and patient neglect. They were put on a five-year probation and were ordered to pay $150,000 in restitution.
Charges were filed after a three-year investigation which also revealed that the Logan facilities frequently experienced shortages of food, medicine, personal hygiene items and linens. Vendor bills often went unpaid, which resulted in lapses of services such as pest control and medical waste pick-ups.
The Logans also are accused of failure to remit about $55,000 in deductions withheld from employees’ wages for a company-sponsored 401(k) plan. They also are charged with failure to remit more than $22,000 in employee wage withholdings for short-term disability policies and individual life insurance policies.
Gregory Logan’s grandparents Samuel and Florence Logan founded the nursing home operation. The family once owned and operated one of the largest and oldest nursing home operations in the region. In 2003, a judge put four of the homes into receivership, and the fifth home went into receivership in 2004. The order was spurred by mismanagement of the homes. Since then, two of the homes have closed and three were sold to other companies.