Manor Oak Nursing Skilled Nursing Facilities Inc. has filed for reorganization in U.S. Bankruptcy Court as a step toward selling the troubled group of nursing homes.
The Chapter 11 filing for the company listed liabilities of $8.7 million owed to 312 creditors of the group of three nursing facilities in Cheektowaga, Jamestown and Warsaw.
The nursing homes have long suffered money problems and quality infractions, including the attempted removal of residents in January to a facility 300 miles away without the permission of the residents' families.
The company was fined in the past year for building safety hazards at the Warsaw nursing home and over the past two year was fined for quality-of-care problems at all three facilities.
According to the bankruptcy papers, Manor Oak owes back county and state taxes, and owes the Internal Revenue Service more than $4 million.
In March, the state Supreme Court, at the request of the state Department of Health, appointed a temporary caretaker to operate the three facilities owned by Donald Larder.