AdCare Health Systems fired its CEO and chairman of the board, William McBride III, on Monday after an internal investigation revealed that he had lied about his educational background, the self-managed healthcare real estate investment company said in a filing with the Securities and Exchange Commission.
Allan J. Rimland, the company’s president and chief financial officer since April 2015, has replaced McBride as CEO of the Suwanee, GA-based owner of assisted living communities and skilled nursing facilities. Rimland also had been serving as AdCare’s secretary since May 2015 and as a director of the company since October 2015.
When McBride was hired in 2014, according to AdCare, he said that he had earned an MBA degree from the University of California Los Angeles, and the company proceeded to include the information in an SEC filing, in a press release and on the company website. McBride does not possess the credential, AdCare said.
The termination of McBride’s employment is the result of an investigation begun earlier this month by the company’s board, which was assisted by independent legal counsel, AdCare said.
Information still posted on the company website on Monday said that McBride’s more than 30 years of experience in the long-term care and real estate investment trust sectors includes helping to found Assisted Living Concepts, where he served as chairman and CEO from 1997 to 1999; co-founding LTC Properties in 1992 and serving as a director of the healthcare REIT as well as president and chief operating officer; and serving as a board member and chairman of the finance committee of Malan Realty Properties, a New York Stock Exchange-listed commercial property REIT.
Late last month, McBride announced that AdCare might change its name to Regional Health Properties under a reorganization to be considered at a special meeting of shareholders in the second quarter, perhaps in conjunction with the company’s annual meeting in June.