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Nursing home owner convicted of unpaid tax money

LTC Liability Monitor, March 13, 2007

The owner of several California Bay Area nursing homes has been convicted of 107 counts of failing to pay about $9.6 million in payroll taxes, reported The Oakland Tribune. The conviction of owner Jack Easterday was announced the same day one of his San Jose nursing homes was fined $100,000-the highest fine allowed under state law-for substandard care that led to the October death of a 67-year-old man. The case filed against Easterday by the U.S. Attorney's Office alleged that his company had not paid payroll taxes collected from 1998 to 2005. It was the second time Easterday faced payroll tax charges relating to the facility, according to the Tribune.

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