Elderly residents from seven nursing homes in Louisiana, who were relocated in 2021 to an overcrowded warehouse during Hurricane Ida, are now being offered a share of a nearly $9 million settlement after taking legal action.
Retired state judge William “Rusty” Knight shared with local media that all 427 former residents who filed claims are receiving letters detailing the proposed settlement. The amounts differ based on each resident’s situation. Those who accept the offered amount can expect to receive their payment within weeks, while a hearing for those disputing the settlement is set for January.
Knight acknowledged that the process has taken longer than anticipated, stating, “It’s been a longer road getting here than we wanted it to be,” while adding that no one is receiving what they truly deserve due to limited funds.
Bob Dean Jr., the owner of the nursing homes, moved hundreds of residents to a building in Independence, about 70 miles from New Orleans, as the hurricane approached. Authorities reported that conditions in the warehouse deteriorated quickly after the storm made landfall on August 29, 2021. Many residents were found in dire circumstances, with some on wet mattresses, calling out for assistance, and lacking basic necessities such as food and water.
Tragically, the state reported that seven evacuees died shortly after the storm, with five classified as storm-related. Dean faced legal repercussions, losing state licenses and federal funding for his facilities, and ultimately pleaded no contest to multiple charges, receiving three years of probation along with hefty financial penalties.
In a separate legal matter, Dean recently agreed to pay $8.2 million to settle federal allegations of misusing funds intended for his nursing homes. Prosecutors accuse him of diverting money meant for the care of his residents to personal expenses, including antiques and cars.
Currently, Dean faces civil lawsuits from 427 former residents or their families, many suspecting that he may have concealed other assets. One attorney representing victims expressed concern over the justice served, emphasizing the suffering endured by his clients. Knight revealed that he is aware of 165 former residents who passed away since the evacuation and expects more names to emerge as the settlement responses come in.