Assisted Living Executives Charged By SEC With Faking Occupants

Two executives in a Wisconsin-based assisted living provider are being charged with listing fake occupants to meet lease requirements. The Securities and Exchange Commission alleged the former CEO and CFO of Assisted Living Concepts LLC manipulated records to show they met occupancy requirements so they would not default on financial covenants with Ventas Inc. . The SEC said the two executives included the identities of family members, employees and even a purported senior resident who was only seven years old and had they not included the false occupants, they would have missed requirements for several consecutive quarters.