As addressed in a previous article, fraud against Medicare and Medicaid is rampant in the nursing home industry. Here is another example of a nursing home embellishing the quality care provided in order to receive federal funds. A San Jose nursing home and its subsidiary have agreed to pay $14.7 million in a settlement regarding allegations of Medicare fraud. Investigators reported that the two companies that own nursing homes throughout California and Utah inflated the number of nursing hours spent on Medicare patients in their reports. In a related criminal case, the nursing home has entered a guilty plea and must pay a $500,000 fine.