Crime & Safety

Updated: City Responds to FBI Raid at Convalescent Hospital

While the South Pasadena Police Department does not have jurisdiction over the facility, Police Chief Joe Payne says the department has increased patrols in recent months due to resident concerns.

Editor's Note: A previous version of this article incorrectly described a 2011 indictment against Verdugo Valley Skilled Nursing & Wellness Centre in Montrose.  The story further incorrectly described the resolution of the matter, which was in fact a settlement with the charge being dismissed without conviction or other finding or admission of guilt, according to Daniel A. Saunders of Bingham McCutchen LLP, who represents Brius Management, which manages Verdugo Valley.  Patch regrets the errors.

Update: South Pasadena Police officers have handled more than 65 calls of both "petty and serious nature" at the over the last two years, Chief Joe Payne said in a press release Thursday.

Brius Healthcare is a minority owner of the South Pasadena facility, according to Daniel A. Saunders of Bingham McCutchen LLP, who represents Brius. owned by Brius, was indicted on a charge of felony neglect in 2011. The matter was settled with that charge being dismissed without a conviction or other finding or admission of guilt, Saunders said.

The California Advocates for Nursing Home Reform confirmed to Patch that Brius owns hospitals in Highland Park and San Diego.

Original story: The FBI and three California state agencies on Mission Street Thursday morning.

While the South Pasadena Police Department does not have jurisdiction over the facility, Police Chief Joe Payne says the department has increased patrols in the area due to resident concerns.

"[The] owner [of the convalescent hospital] according to the License Department is Guy Reggev, D.B.A. Brius Management. Although we have no regulatory authority with the convalescent home pertaining to patient care, we have received scores of complaints regarding the behavior of some of their patients," the police chief said.

He added: "I am told by the FBI that the search warrant affidavit is sealed and that no information is available for release regarding the nature of the investigation."

Brius Healthcare Company was founded in 2004 by Shlomo Rechnitz, who is also the CEO and co-founder of Twin Med, LLC., which provides products for nursing homes. He founded Twin Med with twin brother, Steve Rechnitz, in 1998.

Just last month, the Rechnitz brothers received the ICON Award for Visionary Leadership in Business and Philanthropy, according to a UCLA press release.

"They have utilized their success in the healthcare field to give back to the field of medicine and have contributed millions of dollars to cancer research," said the release.

In reponse to a raid at in Eagle Rock Thursday, a spokeswoman for the California Department of Justice told Patch that raids were taking place in “several other places” in Southern California.

When a from the in November 2010, residents expressed concern on Patch—especially because South Pasadena's Convalescent Hospital is 300 feet from an after-school daycare program at the  and .

According to police, four registered sex offenders were listed as residents of the Convalescent Home and the nearby Prospect Manor at that time.

Employees at the hospital declined to comment, and Brius Healthcare could not be reached in time for this article.


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