In August 2024, the S&M Assisted Living Inc. hospice care facility was charged with misappropriation of funds. The claim, received from a police report made to the Ventura County Sheriff’s Department, stated the company was attempting to take money from one of their patients without their authorization.

The report alleged that S&M attempted to charge $14,000 from the account, consisting of two $7,000 charges for the patient’s monthly care fee. However, this claim was proven false, as S&M Assisted Living Inc. was found not guilty of any wrongdoing.

The owner of the hospice, Malith Mendis, explained that before admission, patients or their responsible parties are required to sign a contract outlining the terms of their stay, including a policy that mandates a 30-day written notice before moving out of the facility. The alleged victim did not comply with this policy.

During the hearing, Mr. Mendis shared how the alleged victim had decided to move out without providing a written notice. Despite informing the family of the outstanding balance and the policy, the family did not respond. Unpaid fees, including the patient care charges, were left unresolved, despite multiple attempts to notify the responsible party.

“I tried to charge the appropriate amount using different methods and nothing was successful. Every time we do, they would call the bank and dispute the charges,” Mr. Mendis said.

Despite following company policy and standard procedures by charging the outstanding fees to the bank account on file, the patient’s family disputed the charges. When S&M tried to charge again, the bank blocked any further payments. However, the funds were never in S&M’s possession, as the family had successfully disputed and been refunded for both charges. This information was never disclosed in their police report.

“The family members (of the alleged victim) did not mention to law enforcement that they disputed, and got all the money back both times,” S&M’s Lawyer said.

“And since the victim is an elderly person, law enforcement will take this very seriously.” He added.

The lawyer also pointed out that according to financial records, the owner of the hospice care facility receives an average of $50,000 in checks every month from this specific location, and the alleged victim is the only one out of hundreds of patients over the years who had to go through this due to the money owed to the facility.

In March 2025, the court issued an internal dismissal of all charges against the company, and the final court date will be held at the end of April. The company is now suing the alleged victim’s family in civil courts to receive the funding they owe.

S&M Assisted Living Inc. has multiple hospice care facilities across several cities. Their owner, Mr. Mendis, has been in the industry for over a decade in multiple fields.

In addition to its hospice care facilities, the company has also been involved in several sectors, including convenience stores, imports, child care, senior care, hospice care, and real estate, which have generated numerous job opportunities over the years and continue to do so. In 2024, they expanded further, adding two more assisted care facilities in Riverside and Orange counties.