City-County councilors ask questions about FBI raid involving American Senior Communities

INDIANAPOLIS, Ind. (Sept. 17, 2015) -- City-county councillors had a lot of questions for the city-funded corporation that has ties to an FBI raid during a budget meeting Thursday.

The Health and Hospital Corporation of Marion County presented its budget to a council committee. Before it even began the presentation, CEO Matthew Gutwein addressed the raid.

"We’ve had a relationship with American Senior Communities for 13 years," Gutwein said.

American Senior Communities' CEO was the target of an FBI raid this week, with documents removed from his Carmel home and southside office.

ASC runs all 78 of the nursing homes owned by HHC as part of a contractual agreement. Gutwein assured councillors that the raid had nothing to do with his company, which also owns Eskenazi Hospital and the Marion County Public Health Department.

"We are assured that Health and Hospital and its employees are not the subject or target of this investigation," Gutwein said.

Councillor Frank Mascari was one of those asking questions. He said that his worry is what the raid could do to taxpayers and patients.

"Nobody knows what really is happening right now," Mascari said.

Gutwein didn't say much about the investigation itself, telling councillors that it's too early to know if it could affect the two companies' relationship. He instead focused on what HHC is doing for the seniors in those homes.

For his part, Mascari said he doesn't think HHC was involved.

"Absolutely not. That ship is run so cleanly, there’s no way that happened, no way. Those folks are the finest people I’ve ever met," Mascari said.

"We are working very closely with the federal authorities to ensure that the investigation is successful," Gutwein said.

The FBI has still not confirmed what it was looking for in the raid or whether a criminal investigation is underway.

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City-County councilors ask questions about FBI raid involving American Senior Communities