Petersen Health Care

The violations stem from a series of incidents at Bloomington Rehab last year, including failure to treat patient wounds appropriately and at least one preventable fall.

Petersen Health Care is asking a Delaware federal judge to approve some $1.3 million worth of lump-sum payments for certain employees as the Peoria-based nursing home company's bankruptcy case continues.

A Delaware limited liability corporation placed the winning $116.2 million bid for all but five of Petersen Health Care's nursing homes posted up for auction Tuesday.

Peoria-based Petersen Health Care filed for Chapter 11 bankruptcy in March, and the plan is to auction off the company's assets to pay back lenders.

U.S. Bankruptcy Court Judge Thomas Horan agreed with the company that the money is needed to keep Petersen's nursing homes operational and minimize disruptions to residents, vendors, and employees.

Judge Thomas Horan of the U.S. Bankruptcy Court of Delaware said Tuesday there's a risk of the case "collapsing under its own weight" if legal wrangling between the Peoria-based nursing home company and X-Caliber Funding isn't resolved.

Petersen is facing multiple lawsuits from its creditors for a combined $55 million in debt nonrepayment, and more than a dozen of its facilities were placed in receivership.

Seventeen facilities owned by a Peoria-based nursing home and assisted living company are now in foreclosure proceedings after lenders allege a combined $51 million in debts went unpaid.

Petersen Health Care Inc. failed to pay more than 3,000 eligible workers for overtime, according to an investigation by the U.S. Department of Labor.

The family of a Bloomington nursing home resident who died of COVID-19 is suing the facility’s owner, claiming gross negligence for failing to prevent a…