A federal judge has dismissed a nine-year-old whistleblower case against a Genesis healthcare subsidiary, ruling that an appellate court’s handling of a separate-but-similar nursing home case should resolve similar legal questions.
In both cases, the whistleblowers have argued that the nursing homes sought out medically complex patients but intentionally staffed according to census rather than patient need.
Earlier this year, the judge in United States v. Sun Healthcare Group begrudgingly granted another extension in the Genesis subsidiary case, even though he found the whistleblowers had engaged in “unwarranted delay.” The case dates to February 2016, when whistleblowers identified only as John Does brought a qui tam case on behalf of the federal government and 20 states.
They alleged that Sun Healthcare, acquired by Pennsylvania-based Genesis in 2012, pressured facilities they owned or operated “to increase occupancy rates and recruit heavy-care residents, yet understaffed their nursing homes or staffed them without regard to resident needs.”
Mitchell Goldberg, chief judge for the US District Court for Eastern Pennsylvania, dismissed their case Wednesday, citing the Third Circuit Court’s ongoing review of a different whistleblower case that raised “substantially the same issues” against former nursing home behemoth Golden Living.
Genesis, one of the nation’s largest providers of skilled nursing services, describes itself as having nearly 200 centers across 17 states....
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