Oregon Nursing Home Hit with $2 Million Settlement After Elderly Patients Endured Horrific Neglect
A $2 million civil settlement has been reached as part of the Oregon Department of Justice’s (ODJ) 2025 national healthcare fraud take-down with Riverpark Operations LLC, and its parent company Avamere, that provided grossly substandard services to elderly Medicare and Medicaid beneficiaries at its 119-bed nursing home in Eugene.
Violation of the False Claims Act
The Eugene facility, which operates as a skilled nursing, long-term care, respite care, and rehabilitation center, agreed to the $2 million settlement for violating the False Claims Act by fraudulently billing Medicare and Medicaid for substandard services.
Elderly Patients Suffered Urinary Tract Infections, Bed Sores, and Falls
Apart from the financial settlement, Riverpark and Avamere have also agreed to undertake corrective actions to resolve the standard of care and to meet minimum staffing requirements.
The services they provided at the Eugene facility resulted in elderly patients experiencing severe urinary tract infections, falls, and pressure sores.
Riverpark and Avamere have entered into a Quality-of-Care Corporate Integrity Agreement with the U.S. Department of Health and Human Services Office of Inspector General.
The agreement, to address resident safety and the quality of care, will remain effective for five years at the Eugene nursing facility.
The civil settlement refers to services provided to elderly Medicaid and Medicare patients at the Eugene nursing home facility between November and December 2017 and between September 2018 and July 2019.
National Fraud Take-Down Involved $14.6 Billion
The Justice Department’s national healthcare fraud take-down resulted in criminal charges against 324 defendants for alleged healthcare fraud and illegal drug diversion schemes involving over $14.6 billion in alleged false billings and over 15 million pills of illegally diverted controlled substances.
According to the ODJ, these defendants allegedly defrauded programs entrusted with the care of the elderly and disabled to line their own pockets. Over $245 million in cash, luxury vehicles, and other assets were seized by the government during the take-down operation.