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May 24, 2006

Did Ontario Gov't Quietly Bury The Royal Crest File?

CTV's W5, April 2004;

In a period of over 10 years, the Ontario government poured nearly $400 million into one such company -- Royal Crest, a chain of 17 nursing and retirement homes, which was run by brothers John and Aldo Martino. But it appears the words "sacred" and "trust" had little to do with their operations.
[...]

Though nursing homes accept residents under the assurance that they will provide care to elderly loved ones, it appears Evelyne's experience wasn't unusual at Royal Crest homes. A confidential source provided W-FIVE with reports from a decade of inspections at Royal Crest homes. The documents show more than 2,000 violations, including a cockroach infestation at Yorkview; a resident who hadn't had their hair washed or been bathed in two weeks; and "intense noxious odour" from a resident's gangrenous leg.

[...]

"We had no ability to determine where (the money) went," says Kainer, who is on the board inspecting the Royal Crest bankruptcy. "It goes from the Ministry of Health to a bank account maintained by Royal Crest, and from there it gets dispersed."

But dispersed to whom? In Royal Crest's final year of business under the Martinos, John and Aldo each paid themselves $300,000. But right after Royal Crest went under, the brothers both declared personal bankruptcy, stating they were only worth $10,000 each. But for a couple of guys claiming to be almost broke, they are actually living pretty well. John Martino lives in a waterfront mansion in Burlington, Ontario and Aldo lives in a million dollar home in Ancaster. John has a fleet of expensive cars, including a Hummer and two Mercedes Benzes, and the whole family enjoyed Aldo's Prowler, a boat worth an estimated $300,000. But not one of those assets – or any of the brothers' other properties – is in either brother's name.

As well, W-FIVE discovered that in the period preceding Royal Crest's bankruptcy, payments were made to some associates, including $300,000 to the wife of the brothers' business partner, Stan Blair, and about $600,000 a year for "services" rendered by companies owned by another associate, Dan Beechey and his wife. Neither Blair nor Beechey agreed to be interviewed despite requests.

W-FIVE discovered that the most interesting part of the money trail led to a Six Nations reserve about an hours' drive west of Hamilton. There, in the middle of a nondescript plaza is the headquarters of Skyco, a company run by Donald Skye, another Martino associate.

Skye also refused to be interviewed, but in the year preceding Royal Crest's bankruptcy, his company received $12 million from the Martinos, allegedly a payback for bridge financing. And according to police, any money that goes to a company based on a reserve is virtually untraceable, because law enforcement officials are reluctant to go onto reserves.


It's been two years since the scandal involving fraud and senior abuse was uncovered. So, where is the forensic audit promised by the Ontario government?

Posted by Kate at May 24, 2006 9:39 AM
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Comments

What gets me is how:

a. These guy's wives have their fingers in it (and the sister)
b. The staff knew about things weren't right - running out of toiletries for example.
c. Even scarier, where are sons, daughters, grandkids in all this?

I mean when I visited my neighbour once a week at a nursing home in Calgary I wanted to see she was being taken care of. The place was clean, didn't smell like a morgue/urinal when you walked into her or other rooms, and they had activities and decent meals.

cheers
tom

Posted by: tomax7 at May 24, 2006 10:51 AM

In response to the previous comment

Wife Rose; owns a Retirement Home Brantford
Sister; Celeste; owns Retiremnt Homes, Niagara
Falls, and St Catherines

The Martino's have decided to abuse and neglect the elderly within our communities by owning non-regulated, not- inspected, for profit Retirement Homes.

They ( Martino's) are still in business

Posted by: Lesley at May 24, 2006 10:56 AM

Nothing to see here folks, just another liberal scam duping seniors out of end of life quality care...


Posted by: Ldd at May 24, 2006 11:33 AM

Anyone know when the nursing home industry was de-regulated and the inspections reduced?

Posted by: jdave34 at May 24, 2006 11:37 AM

To expect a Liberal Government like MqSquinty's to actually act in a responsible manner and look after the citizens who deserve their help is a bit far fetched! No?

Posted by: PGP at May 24, 2006 12:24 PM

Is this Tommy Douglas eugenics for the new millenium?

Posted by: Eskimo at May 24, 2006 12:33 PM

Let's have some fun and follow the money... from CTV
"But dispersed to whom? In Royal Crest's final year of business under the Martinos, John and Aldo each paid themselves $300,000. But right after Royal Crest went under, the brothers both declared personal bankruptcy, stating they were only worth $10,000 each. But for a couple of guys claiming to be almost broke, they are actually living pretty well. John Martino lives in a waterfront mansion in Burlington, Ontario and Aldo lives in a million dollar home in Ancaster. John has a fleet of expensive cars, including a Hummer and two Mercedes Benzes, and the whole family enjoyed Aldo's Prowler, a boat worth an estimated $300,000. But not one of those assets – or any of the brothers' other properties – is in either brother's name."

Ancaster, Ontario. Right?

POLITICAL DONATIONS TO THE ONTARIO LIBERAL PARTY, 1996-2002

2002 - MARTINO A 150.00
Riding #295 - ANCASTER-DUNDAS-FLAMBOROUGH-ALDERSHOT
Doesn't he have a house there? See above...

2001
MARTINO A 229 875.00 (229 HAMILTON EAST)
(see 1998 record for connection to Aldo)

2000
MARTINO AL (Aldo?) 231 HAMILTON WEST 542.15
(This one I can't verify 100% that it's Aldo, but we know he was connected to the area due to the 2001 and the 1998 donations)

1998
MARTINO ALDO 229 750.00
(229 HAMILTON EAST, connection to Aldo and the Hamilton East riding, see 2001 donation)

1997
MARTINO ALDO 118 225.00
(old Riding numbers, can't trace too well)

1996
MARTINO ALDO 41 750.00
76 238.00
118 174.66
(old Riding numbers, can't trace too well)

Total contributions to the Ontario Liberal Party = $3704.81 ($3162.66 if you don't count the questionable 2000 record)

Funny what you can find in the Elections Ontario databases...

Posted by: Christian Conservative at May 24, 2006 12:33 PM

Does anyone have any idea when the nursing home business was de-regulated? Anyone? Anyone?

Posted by: jdave34 at May 24, 2006 12:35 PM

Funny little fact I just found:

Since 1997, regulations ensuring minimum staffing levels in for profit facilities have been removed. From 1996 - 1999 inspections of long term care facilities dropped by 40%.

Who was the stupid Fiberal Lieberal Socialist tree-hugger hippy premier who allowed that to happen????

Oh yeah......

Posted by: jdave34 at May 24, 2006 12:55 PM

"Is this Tommy Douglas eugenics for the new millenium?"

You're not kidding, Eskimo.

My kids keep telling me that if I get sick when I'm older, they won't be letting me stay in any hospital if they can help it.

I'm checking out a lot of kids on their way to adulthood (that's probably wishful thinking on my part) and what's striking is the lack of human kindness or empathy. I figure the scenario will be like this:

I break a hip. I go to the hospital. The admitting personnel check their watches. "Lady, you've got three days and four hours worth of health care coming your way."

My daughters either wisk me out of harm's way when my time's up or I'm getting the needle.

This isn't as far fetched as it sounds. In the Netherlands there are thousands of euthanized seniors every year, all under the guise of "they wanted to end their misery." Apparently, that's not always the scenario.

It looks like the Martinos, with the help of seniors' undervigilant family members and the provinicial government's giving the Martinos a bypass of the regulations, beat everyone to the bank. And is it any wonder it's been under a Librano watch. Librano Lite.

Posted by: new kid on the block at May 24, 2006 9:20 PM

Christian Conservative
Yeah it is funny what you can find in Elections Ontario database. Try looking for Martino Aldo, Martino Mike, and Martino-Harper Franca in donations to the Conservative Party of Ontario.
Its going to be more than given to the Liberals because the Conservatives where in power looking the other way between 1995 and 2003.

Sorry to bring you back to reality folks, I know how you like to get the hate on anything Left of centre.
As bad as the Private Nursing Home scandal was at least nobody died like they did in the Tories worse scandal the Walkerton water scandal. Both scandals came about because the Tories were cutting government spending.

You know how awful government spending is. Well, they cut inspectors, nursing home, water, elevator,meat etc. all inspectors were deemed a drain on the public purse. Big government, phew!

Privatize water inspection...consequence people died and got extremely ill. Cut nursing home inspection and guess what? People live in excrement, surprise! It takes money off the bottom line when you spend it on cleaning, food and staff! It is a business after all. Profit always trumps care.
Health and safety costs money and as long as no one is going to check them business will ignore it. That is why so many miners are dying in the U.S. right now. That's why 70 miners in Saskatchewan walked away from a mine accident. The difference is that companies are held accountable in one case while not in another.

I can hardly wait until everything is privatized we won't have to worry about people living to old age anymore. We can be like Afghanistan were the average age is 17 years instead of 36 as it is in Canada now.

Posted by: steve d. at May 24, 2006 9:27 PM

steve d, average age is not the same as longevity.

look at longevity for success not average age.

canada is 81. but its not due to socialized medicine - if it were then the brits would be far above us. the yanks are but a year behind us, statistically insignificant.

as for socialized medicine check out Russia, Poland , China , longevity deprived.

as Jim Grey used to say "averages are for losers"

Posted by: cal2 at May 25, 2006 12:06 AM

steve d. please do not say people have not died from the "nursing home scandal"...people have died... many more than Walkerton but unfortunately it is under reported. The best example I can think of is the 23 deaths at Seven Oaks in Toronto. Remember the Legionaire's outbreak??? That's not an isolated case in the nursing home buisness....Martino's happened to have a home that had two outbreaks within a very short time frame leading to an inquest...you just don't hear about it in the media.

Still, the BIG question remains...WHERE IS THE ROYAL CREST FORENSIC AUDIT? Why the secrecy? Why the coverup? Who has it? and Why are they putting the lid on it???

Posted by: mama bear at May 25, 2006 4:17 AM

Why would anyone think that an investigation leads to anything in this country other than an appology from the police, when it has to do with politicians?
Besides Collin Thatcher killing his wife, politicians and their supporters are untouchables.
Steal hundreds of millions of tax payers hard earned money , no worries.

Liberals in stripes!

Posted by: richfisher at May 25, 2006 11:42 AM

mama bear
I am sure there have been people die as a result of neglect and unclean conditions but unfortunately when an old person dies no one questions it. The Legionnaires disease deaths while tragic as well, I don't think qualify as part of the neglect that these others suffered. Legionnaires seems to occur in hospitals and hotels as well.

My guess about why this is all still pending is probably because the Martino's clever manipulation of the money combined with the inept way the Tories handled business affairs. They proclaimed, "Ontario is open for business"
This, as it turns out, was code for business can do whatever it wants we will not put up any red tape or ask for any accountability. As a result, workplace injuries and deaths went up as did meat and water poisoning. We did get our tax cuts.

Posted by: steve d. at May 25, 2006 4:35 PM

The issues with the Martinos have been going on since the early 90's. Since the early 90's all three parties have at one time or another been in power. The only thing that may not have changed is some of the beuracracy. My point is no one has done anything about the perceived neglect,abuse and corruption within long-term care. Same old...same old.

FYI...legionares disease is preventable...(so is water poisoning and so is meat poisoning but those are not the issues at hand). The maintenance and checking the ventilation and cooling systems in a long-term care facility falls under provinicial legislation and is part of the annual inspections of long-term care facilities. If these annual inspections were are done properly the out breaks could have been prevented. I call that neglect...maybe others don't.

Regardless of how any party conducted buisness that still does not tell us WHERE THE ROYAL CREST FORENSIC AUDIT IS and why is it being buried. Your money paid for all those misappropriated funds. Your money paid for the forensic audit....don't you have any desire to see what it says???

Posted by: mama bear at May 25, 2006 7:49 PM

mama bear
Absolutely I would love to see a thorough accounting. I just don't believe they have the paper work. They have invoices from the Martino's and receipts. So what does that tell us? Money was billed and money was paid. Once the money was paid then it appears it was moved into indiscernable places. Money was paid to secondary companies for services rendered. These secondary companies are friends and relatives. It may be technically legal, although purposely bad business. I think that is the problem. Even so I hope there is an explanation and legal loopholes are closed.


Posted by: steve d. at May 25, 2006 8:46 PM

I have enough faith in the forensic auditor that he did a thorough job and was able to put together some sort of money trail with what he had to work with. His job is finished....it's now up to either the MOHLTC or Management Board Secretariat to tell us what he found!

Posted by: mama bear at May 25, 2006 9:31 PM

I have several issues concerning Brantwood Lifecare Centre (one of the Royal Crest Groups) now operated by Ernst and Young as a trustee before the courts and I am hoping to get an inquest concerning the role of Brantwood in the death of my mother April 9, 2006. I believe this should be of much more interest on an international level than the Terry Shiavo story and hope to get support from Canadian families to ensure this inquest takes place.

Posted by: Anne Marsden at May 25, 2006 10:54 PM

....and I thought conditions were suppose to IMPROVE when E&Y took over as trustee and Extendicare started managing the homes (sarcasm).

Posted by: mama bear at May 26, 2006 12:46 AM

....and why haven't those homes been sold by now??? E&Y did manage to sell off a couple of the Retirement Homes awhile back....of course... to a buddy of the brothers.

Posted by: mama bear at May 26, 2006 5:54 AM

I agree one would think things should have improved but our audits show nothing could be further from the truth. They also show that the Ministry of Health and Ernst and Young were involved every step of the way in the issues brought forward which are clearly outside the legislated standards. From the day the audits started July 26, 2005 until the day they ceased on the death of their client,which we belive we can convince an inquest jury was homicide,the Ministry of Health has looked the other way. Anne Marsden, Audit Manager, The Canadian Family Watchdog

Posted by: Anne Marsden at May 27, 2006 8:28 AM

If anyone wants to check the accuracy of the former comment regarding keeping Ministry of Health and Ernst and Young involved every step of the way please feel free to quote me to Leslea C. Gordon, Vice President of Ernst and Young in Toronto and responsible for the Brantwood Lifecare Centre file, Marlene Hamilton Compliance Advisor with the Ministry of Health and Louise Stratford the Public Guardian and Trustee for Ontario. Anne Marsden, Audit Manager, The Auditors, The Canadian Family Watchdog c.c. Leslea C. Gordon

Posted by: Anne Marsden at May 27, 2006 8:32 AM

I am very aware conditions have not improved within the Royal Crest Homes. I remember very specifically having one of Ernst & Young's top executives involved in the Royal Crest matter tell me privately of the management problems they were having in the Homes. I remember very specifically having an executive from Extendicare tell me I was only trying to cause trouble and that these managers were doing an excellent job. I remember very specifically having one of these managers tell me this is the way things are done and if I didn't like it ...leave...(I did)

Almost 3 years later and it looks like they still haven't done anything about the troubles within the homes. It comes as no surprise to me....and who suffers because of this nonsense??? The residents.

I screamed at various individuals there were still residents in these homes...did anyone LISTEN???

And yet in all of this...It still doesn't tell us....WHERE THE ROYAL CREST FORENSIC AUDIT IS????

Did Ernst& Young get a copy???

Posted by: mama bear at May 27, 2006 10:46 PM

Impacting the residents is bad enough Mama Bear. However, it goes a lot further than that. It impacts the community when these homes have the ER and acute care beds blocked because of their practices. Brantwood has an out of town Medical Director and family physician for all the residents. If you are extremely lucky he will make an appearance once a week and the rest of the time treat over the phone and use the ER for his back up. I have been trying to get Burlington City Mayor Rob MacIsaac and Ward 2 Councillor Joan Lougheed (Brantwood is in her riding)who is now running for mayor interested in the issues that impact the community with absolutely no luck. The issue I have been trying to get them to address is with the home's failure to follow Region/Ministry of Health rules that impact the community why are they allowed to take their business (pharmaceuticals etc.) to the big TO. It would be much better for residents and their families if there was a local pharmacist to communicate with on serious issues that affect quality of life and, of course, the very life of the resident. MacIsaac and Lougheed refuse to discuss the issue despite it lining up with the City publicly stated Mission or Vision. Anne Marsden, Audit Manager, The Auditors, The Canadian Family Watchdog

Posted by: Anne Marsden at May 29, 2006 9:04 AM

Impacting the residents is bad enough Mama Bear. However, it goes a lot further than that. It impacts the community when these homes have the ER and acute care beds blocked because of their practices. Brantwood has an out of town Medical Director and family physician for all the residents. If you are extremely lucky he will make an appearance once a week and the rest of the time treat over the phone and use the ER for his back up. I have been trying to get Burlington City Mayor Rob MacIsaac and Ward 2 Councillor Joan Lougheed (Brantwood is in her riding)who is now running for mayor interested in the issues that impact the community with absolutely no luck. The issue I have been trying to get them to address is with the home's failure to follow Region/Ministry of Health rules that impact the community why are they allowed to take their business (pharmaceuticals etc.) to the big TO. It would be much better for residents and their families if there was a local pharmacist to communicate with on serious issues that affect quality of life and, of course, the very life of the resident. MacIsaac and Lougheed refuse to discuss the issue despite it lining up with the City publicly stated Mission or Vision. Anne Marsden, Audit Manager, The Auditors, The Canadian Family Watchdog

Posted by: Anne Marsden at May 29, 2006 9:04 AM

Impacting the residents is bad enough Mama Bear. However, it goes a lot further than that. It impacts the community when these homes have the ER and acute care beds blocked because of their practices. Brantwood has an out of town Medical Director and family physician for all the residents. If you are extremely lucky he will make an appearance once a week and the rest of the time treat over the phone and use the ER for his back up. I have been trying to get Burlington City Mayor Rob MacIsaac and Ward 2 Councillor Joan Lougheed (Brantwood is in her riding)who is now running for mayor interested in the issues that impact the community with absolutely no luck. The issue I have been trying to get them to address is with the home's failure to follow Region/Ministry of Health rules that impact the community why are they allowed to take their business (pharmaceuticals etc.) to the big TO. It would be much better for residents and their families if there was a local pharmacist to communicate with on serious issues that affect quality of life and, of course, the very life of the resident. MacIsaac and Lougheed refuse to discuss the issue despite it lining up with the City publicly stated Mission or Vision. Anne Marsden, Audit Manager, The Auditors, The Canadian Family Watchdog

Posted by: Anne Marsden at May 29, 2006 9:04 AM

You are obviously finding out the hard way that ROYAL CREST is a very very dirty word in this province. No one is going to touch this with a ten foot pole....better to sweep it under the carpet and keep those trying to speak out and ask for accountability QUIET!!!

So....I'm still asking...WHO HAS THE AUDIT???

Posted by: mama bear at May 29, 2006 11:30 AM

I really didn't want to take this political but....I just received verification that NEITHER opposition party knows what became of the promised ROYAL CREST foensic audit.

Hmmm...maybe this is indeed turning into another liberal scandal and coverup. I think some of us need to think about that one!

Posted by: mama bear at May 29, 2006 12:21 PM

I just placed my father into Brantwood on an interim basis and am sick to my stomach.May god forgive me.

Posted by: disgusted at June 2, 2006 5:20 PM
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