Ethema Health Corp (GRST)

[Bubae]

You don't have to google search long before realizing that the addiction treatment center is full of shady characters. Not only did the owner of the Edgewater Recovery Center get hit with a $2.2 million business related fine but he also got hit with a couple other unrelated legal actions. The Justice department came down on Edgewater in January 2024 with the $2.2 million fine. In February the owner and his wife got hit with DUI, and public intoxication charges in February 2024 for what one article claimed was not alcohol related. 😆 According to a May article the happy couple got hit with child pornography charges. Now Ethema Health will need to rehabilitate the treatment centers local reputation?


Owners of Ky. drug rehab facility facing child porn charges
By WKYT News Staff and Grason Passmore Published: May. 23, 2024
https://www.wkyt.com/2024/05/23/owners-ky-drug-rehab-facility-facing-child-porn-charges/

According to Kentucky State Police, The owners of Edgewater Recovery, John and Myra Elam, both face charges related to child pornography.

The two were arrested at their home in Morehead on Thursday as a result of an undercover Internet Crimes Against Children (ICAC) investigation.


Suspicions confirmed
By Jeff Vanderbeck Publisher Jun 5, 2024
https://www.floydct.com/opinion/suspicions-confirmed/article_60a52f28-22a8-11ef-a154-d376927e62a6.html

In February John and Myra were arrested — John on a charge of DUI — not alcohol — and Myra on an intoxication charge. Also in February Edgewater and their shifty partner, Acculab LLC, d/b/a Thoroughbred Diagnostics agreed to pay $4.9 million for allegedly submitting false claims for urine drug testing. Edgewater admitted guilt and agreed to pay $2.2 million. However they remained in business.

And if allegedly reverting back to drugs and bilking the government out of money because they lied and cheated wasn’t bad enough, God-fearing John and Myra were arrested in Rowan County last week on charges of possession of child pornography. And John tacked on one count of possession of a firearm by a convicted felon. According to the secretary of state, the Edgewater business is active and there are facilities in Morehead.

Embattled rehab operators arrested for DUI, public intoxication
Ralph Davis Article Updated: June 18, 2024
https://mountain-topmedia.com/embattled-rehab-operators-arrested-for-dui-public-intoxication/

John Elam, 43, and Myra Elam, 43, both of Morehead, were arrested early Saturday morning, after a driver reported their vehicle for traveling recklessly and at a high rate of speed on Interstate 64.

The officer noted that both were unsteady on their feet and were slurring their words. Both were administered field sobriety tests and the officer wrote in his report that both showed clues of impairment, with John Elam drooling while talking to police and Myra Elam having a hard time making normal body movements.

The Elams operate Edgewater Recovery Center, which has residential addiction treatment centers in Morehead, Pikeville, Flemingsburg and Paducah.

While they were being arrested, the officer noted in his report that both kept telling him that they know numerous police officers, lawyers, public officials and judges, how much money they have, and how they were going to ruin the officer’s life for arresting them.


Kentucky Lab Agrees to $4.9 Million Civil Judgment and Drug Treatment Center Enters Settlement to Pay $2.2 Million to Resolve False Claims Act Allegations
Tuesday, January 30, 2024
https://www.justice.gov/usao-edky/pr/kentucky-lab-agrees-49-million-civil-judgment-and-drug-treatment-center-enters

Relatedly, the United States entered into a settlement agreement with Edgewater Recovery Center, LLC (“Edgewater”), the drug rehabilitation facility that caused the submission of those false laboratory claims, to resolve its own False Claims Act liability. Pursuant to that settlement agreement, Edgewater will pay the Government $2.2 million.

Under the terms of its Settlement Agreement with the United States, Edgewater agreed to pay $2,249,632.92 to resolve allegations that it caused the submission of false claims. Edgewater also entered into a Corporate Integrity Agreement with the U.S. Department of Health and Human Services, Office of Inspector General, requiring the business to appoint a Compliance Officer – who will be tasked with implementing policies to ensure compliance with federal health care program requirements and monitoring Edgewater’s day-to-day compliance activities – and retain an independent compliance expert to review their compliance program.