On March 19, 2026, Maryland Attorney General Anthony G. Brown announced a $250,000 settlement with the owners of a nursing home in Oakland, Maryland, resolving allegations that they violated the Maryland False Health Claims Act by providing substandard care to hundreds of residents.
The settlement involves both current and former owners and includes a monitoring agreement in which the Office of the Attorney General will oversee the facility for three years. This marks the fifth nursing home case resolved in the past two years by the Medicaid Fraud and Vulnerable Victims Unit (MFVVU) and is part of an ongoing effort to improve conditions at the state’s roughly 230 nursing homes.
The facility came to the office’s attention in 2024 after two residents died. The investigative team gathered extensive evidence on day-to-day operations and conducted a “strike force” visit. During this unannounced visit, a large group of investigators—including members from MFVVU, DHS Adult Protective Services, and the Department of Aging State Long-term Care Ombudsman—conducted a comprehensive review of operations.
The investigation found:
- Failure to satisfy state regulations regarding registered nurse staffing on 17 percent of shifts;
- Failure to meet bedside care staff-to-resident ratio regulations on 25 percent of shifts;
- Eleven patients suffering serious injury due to falls and other preventable events;
- Several serious regulatory violations compromising patient care, including improper nutrition and feeding; and
- Frequent resident complaints about long call-bell response times.
The investigation revealed that Medicaid recipients were receiving care so substandard that taxpayers, who fund the program, were being defrauded. To ensure improvement, MFVVU required the monitoring agreement in addition to the monetary settlement. Paid for by the facility, the agreement allows the state to monitor all relevant aspects of operations through outside audits and unfettered access to corporate documents, medical files, and staff. If problems continue, the facility must make improvements or face renewed legal exposure.
Compliance Perspective
Issue
Providing high-quality care to residents is a fundamental responsibility for any long-term care facility. Each resident must receive the care and services necessary to maintain or achieve their highest practicable physical, mental, and psychosocial well-being, consistent with their comprehensive assessment and care plan. Facilities must also safeguard residents’ rights, ensuring freedom from abuse, neglect, and exploitation. Failure to maintain these standards may result in substandard care, regulatory citations, fines, or other sanctions.
Discussion Points
- Regularly review and update policies and procedures to ensure they support safe, high-quality care and align with current federal and state regulations. Consider engaging an experienced consultant to assist in evaluating policies, identifying potential gaps, and developing best-practice approaches, such as mock surveys or targeted assessments, to strengthen operational compliance.
- Provide staff with ongoing education and training on their responsibilities for delivering safe, high-quality care. Training should cover resident-centered care, compliance with regulatory requirements, and awareness of risks to residents’ well-being. Med‑Net Academy offers the course Fraud Module 14 – Quality Care and Improvement, which summarizes the elements necessary for providing quality care, identifies elements of quality-of-life compliance related to residents’ rights, and discusses the company’s quality improvement program.
- Conduct periodic audits to verify that policies are being followed and that residents are receiving safe and effective care. Audits should assess staffing, care delivery, and adherence to procedures. Facilities may benefit from working with a consultant to perform mock surveys or targeted reviews, which can help identify deficiencies, monitor improvements, and guide corrective actions.
*This news alert has been prepared by Med-Net Concepts, Inc. for informational purposes only and is not intended to provide legal advice.*