The Associated Press
CLINTON, Ky. - The Cabinet for Health Services has gone to bankruptcy court to try to revoke the license of Birchtree Healthcare nursing home for "multiple and serious violations" of health-care laws and to remove its remaining residents.
The nursing home has 116 beds but only 13 residents. Dozens of others, their care being paid for by the government, were removed by the state last summer when Birchtree was dropped from the Medicaid and Medicare programs for alleged health violations.
The nursing home now figures in a scandal over an affair between its owner, Tina Conner, and Gov. Paul Patton. She contends Mr. Patton used his office to help Birchtree during the affair, then to damage it after she ended their affair.
Mr. Patton acknowledged the affair but has denied misusing his authority.
Attorneys for the cabinet filed a motion Friday in U.S. Bankruptcy Court in Louisville. The motion seeks relief from part of the bankruptcy code that automatically stops creditors from taking actions against debtors without a judge's approval. It says the violations "present an immediate and irreparable harm" to Birchtree residents.
Dan Dabney, a consultant who has been managing Birchtree, insisted Tuesday that any violations have been "minimal." He said he has asked the attorney general to investigate the state's inspectors.
Mr. Dabney also accused the Patton administration of "directing the Cabinet for Health Services to destroy Birchtree Healthcare." He accused the cabinet of "working in concert with Birchtree's largest creditor to carry out the destruction of that business."
Cabinet spokesman Gil Lawson said the cabinet planned to send its own response to the attorney general's office. "We deny any impropriety by out staff," Mr. Lawson said.
Birchtree filed for bankruptcy reorganization on Sept. 12. Last week, a lawyer representing First National Bank of Clinton asked the court to have a trustee run the facility. Birchtree owes the bank nearly $2.7 million.
The state and bank motions are scheduled to be heard Friday in Louisville.
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