February 11, 2004
    Kindred settles investigation of Kentucky nursing centers
    Kindred Healthcare Inc. (Nasdaq: KIND) and the Kentucky Office of the Attorney General have announced a settlement related to the state's investigation of patient care at Kindred's nursing centers in the state.

    According to news releases from Kindred and the state, the civil settlement resolves all issues associated with the investigation. Kindred has to pay about $450,000 and make a $500,000 donation to the Kentucky Nursing Incentive Scholarship Fund.

    The Louisville-based company also has agreed to enter into a three-year agreement to enhance staff training programs and to hire geriatric nurse practitioners for 16 of its nursing centers in Kentucky. The programs will cost the company about $900,000, the Kindred release said.

    According to the attorney general's office, the settlement follows a four-year investigation of four nursing homes operated by Kindred by the state's Medicaid Fraud and Abuse Control Division. The investigation was related to charges of poor patient care at those facilities.

    "Abuse and neglect of patients will not be tolerated," Attorney General Greg Stumbo said in the release. "I am pleased that the Commonwealth and Kindred are working towards the common goal of improving the quality of care in Kindred nursing facilities in Kentucky."

    Paul J. Diaz, president and CEO of Kindred, said in a statement that the settlement is a "fair result" to the dispute.

    "We are pleased to have reached this agreement, which is in line with our expectations and continues our commitment to the training of caregivers and quality care initiatives," he said.

    Kindred Healthcare is a national health care services company primarily operating hospitals, nursing centers and institutional pharmacies.

    2004 American City Business Journals Inc.

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    Joined: Jul '03; Posts: 805; Likes: 43


  3. by   Rnltc
    I use to work for them in the state of Washington and I can undersand why they are in this type of trouble. THe need to be investigated in more states.
  4. by   Renee' Y-Y
    My last day with this company is next Wednesday.
  5. by   Town & Country
    .................my teeth are still chattering. :uhoh21: