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Advocat settles for $1.3 million
LTC Liability Monitor, September 16, 2004
After a series of investigations and lawsuits plagued 13 Arkansas nursing homes operated by Advocat Inc., the company reached a $1.3 million settlement with the state, the Associated Press (AP) reported.
Arkansas Attorney General Mike Beebe's office investigated 27 cases-all but one involving a death-and alleged mistreatment or neglect as a contributing factor in as many as 14 deaths.
The settlement requires Franklin, TN-based Advocat to spend $600,000 to install sprinklers and $300,000 to improve training and quality of care in its Arkansas nursing homes.
The company will also pay $400,000 to the Arkansas Medicaid Program Trust Fund, which will draw an estimated $1.2 million in federal matching funds over the next two years, AP reported.
Advocat-which operates in Arkansas as Diversicare Management Services-did not admit to any wrongdoing.
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