Federal court documents reveal money woes at Bridgeport nursing home

Posted: Updated:
BRIDGEPORT -

There are new developments at a troubled nursing home in Bridgeport that has been the subject of a federal grand jury investigation.

For years, workers at Bridgeport Health Care Center have complained about late paychecks, unpaid medical claims and pensions that seemed to vanish. 

Recently, a new court filing revealed how dire the financial situation at the Bond Street home has been.

According to the court filing, bank statements show the facility's retirement fund, which is supposed to cover hundreds of employees, dropped to just $588 last summer. 

An outside attorney is now in charge of the fund, but he refused to comment on how much money is available now. 

If there is money in the fund, retirees like Antonio Rebeiro say they haven't seen it.

"I feel I got ripped off. That's how I'm feeling. I want my money back," says Rebeiro.

The Department of Labor alleges $4 million of it was loaned to a charity controlled by the facility's owner, Chaim Stern.

Court records show, in 2016, Stern wrote himself a $14,000 check from the same charity.

Federal agents raided Bridgeport Health Care Center in May. Court documents say the search was part of a grand jury investigation into possible money laundering, fraud, theft and tax evasion.         

In a recent bankruptcy hearing, a judge said Stern admitted "two or three (of his) homes should be closed" because they're "unable to pay their bills."           

The government claims Stern has used multiple delay tactics to drag the case on for the past two years. Officials say he still has not produced a single document they've asked for. However, criminal investigators seized several documents in the raid. 

When Stern was questioned about Bridgeport Health's finances in a bankruptcy hearing, he repeatedly refused to answer.

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