The former owner of a nursing home pleaded guilty Tuesday to a charge that he gave false receipts to a federal grand jury in trying to cover up a crime by a state inspector.
Ralph L. Stacey Jr. faces up to three years in prison and a fine of as much as $250,000.
When Stacey owned a nursing home in Covington, he let Moses Young, then a top state nursing-home inspector, live rent-free in a condominium Stacey owned in Lexington, according to court documents.
In return, Young allegedly gave Stacey inside information and helped him respond to citations.
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A federal grand jury began investigating that improper relationship in 2008. Stacey prepared false receipts in an attempt to hide the crime, according to a court document.
State officials fired Young in 2008 along with Sharon Harris, a state-employed nurse who admitted helping conceal Young's deal with Stacey.
Both pleaded guilty in federal court last year. Young was sentenced to five months in prison and two years of supervised release, with six months of that in home detention.
Harris was placed on probation for three years.
Stacey sold the nursing home involved in the case, Garrard Convalescent Home, in 2009, and the beds assigned to it were switched to another facility in Covington, according to a prior report.
Stacey is scheduled to be sentenced in May.