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New York Nursing Homes Settle for $12 Million Due to Neglect

Nursing home facility representing care and community

News Summary

The owners of several nursing homes in New York have agreed to a $12 million settlement following allegations of neglect that led to suffering and fatalities among residents. The New York State Attorney General’s Office accused the operators of misusing funds intended for resident care and severely understaffing facilities. Notable among them is the Van Duyn Nursing Home. The case escalates amid renewed scrutiny of former Governor Andrew Cuomo over his handling of nursing home management during the pandemic, raising critical discussions about accountability and care standards in these facilities.

New York – The owners of several nursing homes in New York State have agreed to pay $12 million following allegations of neglecting residents, which resulted in suffering and, in some cases, death. This settlement comes after the New York State Attorney General’s Office accused the nursing home operators of leaving facilities severely understaffed and misusing taxpayer funds meant for resident care.

Attorney General Letitia James highlighted that the Van Duyn Nursing Home, located in Syracuse, was one of the facilities where owners Efraim Steif and Uri Koenig neglected their responsibilities. The attorney general’s office found that the neglect led to unsafe living conditions for residents, contributing to an increase in hospitalizations and emotional trauma among those in care.

According to the investigation, Steif and Koenig fraudulently transferred over $2 million to their accounts, diverting funds that were intended for the care and well-being of residents. In addition to the Van Duyn facility, the nursing homes operated by these individuals include locations in Hudson Park and East Greenbush.

A media representative has made it clear that resources are available for individuals with disabilities who need help accessing public file content related to these cases.

In a separate but related development, there is a renewed effort to prosecute former New York Governor Andrew Cuomo regarding allegations of dishonesty to Congress during the COVID-19 pandemic, particularly related to the management of nursing homes. The House Select Subcommittee on the Coronavirus Pandemic had initially referred Cuomo for criminal prosecution in October 2022, stating that he made false statements concerning the underreporting of nursing home deaths.

The subcommittee has gathered evidence, including handwritten notes and emails, that contradicts Cuomo’s previous testimony, leading lawmakers to push for his prosecution. House Oversight Chair James Comer has been particularly vocal in accusing Cuomo of a cover-up regarding the management of nursing homes during the pandemic.

Cuomo, who is currently running for mayor of New York City, has dismissed the prosecution referral as “meritless lawfare,” asserting that it is driven by political motives. Despite his defenses of actions taken during the pandemic, Cuomo continues to face scrutiny over both the nursing home deaths and multiple sexual harassment allegations that prompted his resignation in 2021.

The recent agreement by nursing home owners to settle for $12 million is part of broader efforts to ensure accountability in the healthcare sector, especially in facilities catering to vulnerable populations such as the elderly and disabled. Ongoing conversations about nursing home oversight and the implications of the pandemic are leading to critical reflections on policies and practices that protect residents in these institutions.

As investigations into the actions of nursing home owners and former state officials proceed, the focus remains on enhancing care standards and preventing further neglect or misallocation of funds meant to improve welfare in nursing homes across New York State.

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STAFF HERE NEW YORK WRITER
Author: STAFF HERE NEW YORK WRITER

NEW YORK STAFF WRITER The NEW YORK STAFF WRITER represents the experienced team at HERENewYork.com, your go-to source for actionable local news and information in New York, the five boroughs, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as New York Fashion Week, Macy's Thanksgiving Day Parade, and Tribeca Film Festival. Our coverage extends to key organizations like the Greater New York Chamber of Commerce and United Way of New York, plus leading businesses in finance and media that power the local economy such as JPMorgan Chase, Goldman Sachs, and Bloomberg. As part of the broader HERE network, including HEREBuffalo.com, we provide comprehensive, credible insights into New York's dynamic landscape.

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