complaint·August 25, 2025

On February 28, 2025, the Department subpoenaed Wescom Credit Union and received R1’s financial records. The bank statements were reviewed for the period from July 2024 to January 2025. The total amount of withdrawals made by AD were compared to the total amount of rent that should have been charged. A variance of $47,741 was noted. The total amount of withdrawals by AD was $63,302 and a total amount of $15,561 should been charged for rent, resulting in overcharges totaling $47,741. Each month’s withdrawals made by AD were compared to the monthly rent rate as follows: On July 17, 2024 – R1 admitted to the facility. The prorated rent for July 2024 should have been $1,161 for 15 days and AD withdrew $2,264 from R1’s checking account via PayPal resulting in $1,103 overcharges. In August 2024 – AD withdrew three times from R1’s checking account via PayPal totaling $3,808, resulting in $1,408 in overcharges, as rent for the month should have been $2,400. In September 2024 - AD withdrew five times from R1’s checking account via PayPal totaling $5,687, resulting in $3,287 in overcharges, as rent for the month should have been $2,400. In October 2024 - AD withdrew eight times from R1’s checking account via PayPal totaling $8,219 resulting in $5,819 in overcharges, as rent for the month should have been $2,400. In November 2024 - AD withdrew eleven times from R1’s checking account via PayPal totaling $14,481, resulting in $12,081 in overcharges, as rent for the month should have been $2,400. In December 2024 - AD withdrew twelve times from R1’s checking account via PayPal totaling $20,815, resulting in $18,415 in overcharges, as rent for the month should have been $2,400. In January 2025 – AD withdrew three times from R1’s checking account via PayPal totaling $8,027, resulting in $5,627 in overcharges, as rent for the month should have been $2,400. After R1 reported money shortage in their bank account, AD refunded overcharges to R1’s bank account totaling $39,940, however, remaining overcharge balance of $7,801 was not refunded to R1. (Cont. LIC9099-C) Based on the R1’s financial records, the preponderance of evidence standard has been met; therefore, the above allegation is found to be substantiated. Deficiencies are being cited per Title 22 Division 6 of the California Code of regulations (see LIC9099-D), and an Immediate $500 Civil Penalty is being assessed (see LIC421IM). Additional Civil Penalty is pending determination as per Health & Safety Code 1569.49(f). An exit interview was conducted. A copy of this report, and appeal rights were left at the facility.