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New York settles with former nursing home exec over excessive pay

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New York’s Attorney General announced settlement terms this week with a former executive at two nursing homes operating in the state on charges she misappropriated funds to her, her family’s, and friend’s financial gain.

Ruby Weston will pay $871,000 as part of the settlement terms, according to a report at LegalNewsline.com on a statement from AG Eric Schneiderman. Weston was the former administrator at Marcus Garvey Nursing Home and Ruby Weston Manor and was accused of breaking her “fiduciary responsibilities” to both organizations. Weston took an “excessive” salary during her time at the helm of Marcus Garvey Nursing Home – reaching a pinnacle of $500,000 in a single year – and also awarded nursing home contracts to her son, who operated a computer consulting firm, without accepting bids from others. She set her own salary.

Furthering her ability to defraud Marcus Garvey Nursing Home, to which she must repay $821,000 as part of the settlement, Weston appointed a personal friend to serve as the head of the board of directors of both not-for-profit corporations.

And the money Weston was charging in salary and medical benefits was hardly reflected in the quality of care at the nursing homes. Also as part of the settlement deal reached with Schneiderman’s office, Marcus Garvey must now implement stricter standards and will be closely monitored as it looks to erase the reputation it gained under Weston’s stewardship.

New York’s Dept. of Health has cited Marcus Garvey for numerous operational and procedural flaws. The nursing home is currently designated a “Special Focus Facility” by the Centers for Medicare and Medicaid Services, according to the report. The nursing home must now hire a state-approved administrator to oversee the needed improvements.

Ruby Weston Manor remains in receivership by the Dept. of Health until a suitable new owner is found to operate it independently of the state’s immediate management.

Weston must repay $50,000 in litigation fees to the state for its five-year investigation into her case.

breakinglawsuitnews.com disclaimer: This article: New York settles with former nursing home exec over excessive pay was posted on Thursday, April 5th, 2012 at 8:54 pm at breakinglawsuitnews.com and is filed under Employment Lawsuits, Fraud Lawsuits, Nursing Home Abuse Lawsuits.

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