In a disturbing case, the government has joined a civil lawsuit against a nursing home operator that was run so poorly, that the allegation is that the money Medicare and Medicaid paid for services was "effectively worthless."
You can read the article here.
The lawsuit alleges that money was not going to serving the residents, and that money was squeezed out by things such as rationing towels, garbage bags, laundry bags, medical tubing and oxygen bottles.  The administrator of the facility is alleged to have bought snacks with her own money.
The cost to the residents in this facility came in the form of pressure ulcers, falls, dehydration and malnutrition.
Unfortunately, this is a pattern we have seen many times.  In order to maximize profit, nursing home and assisted living companies cut corners to generate profit.  Unfortunately, some of the corners they cut are not obvious to residents and their families until someone is admitted for a period of time.  For example, staffing levels are kept to the bare minimum levels to boost profit.  In turn, we see the same problems cited in the article.