NEWARK, N.J. (AP) — The former operators of a failed multi-state nursing home chain stole more than $2 million from employees’ paychecks that was supposed to pay for their health insurance, according to a lawsuit.
The suit filed last week in U.S. District Court names Joseph Schwartz and wife Rosie Schwartz and their company, Skyline Health Care, which operated more than 100 nursing homes under numerous subsidiary companies. Dozens of those facilities have been taken over by states in the last two years after the company was unable to pay vendors.
Five plaintiffs who worked at Skyline-operated facilities in South Dakota, Kansas, Nebraska and Arkansas filed the suit, which seeks class-action status for what it estimates were more than 1,000 employees who were affected.
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