PARIS (Agefi-Dow Jones)–The operator of retirement homes and clinics Orpea denied Monday, in a press release published after the market, the accusations brought against it by a book whose first elements were published in the Le Monde newspaper.
“These controversial and aggressive elements show a clear desire to harm. We formally contest all of these accusations, which we consider to be false, outrageous and harmful,” the group said in a statement.
Le Monde published on Monday extracts from the book “Les Fossoyeurs”, a behind-the-scenes investigation of Orpea’s activity and to be published on January 26. The book promises “revelations about the system that mistreats our elders”.
“In almost three years of investigation”, Victor Castanet, the author of the book to be published by Fayard, “met 250 people, recorded more than 200 testimonies, unearthed confidential reports and internal emails”, reports Le Monde.
“The whole investigation is based on the testimonies of people who have left the group, who have sometimes been dismissed as happens in all companies, and who may have resentment”, commented in particular Yves Le Masne, the general manager of ‘Orpea, during a conference call, stating that around 1,000 to 1,500 people leave the company every year.
Orpea shares fell 16.1% to 69.28 euros on the Paris Stock Exchange on Monday, “the article in Le Monde on this book having frightened investors”, according to a Parisian analyst. This drop was recorded before the suspension at 12:45 p.m., at the company’s request, of the stock’s listing. The action of competitor Korian was dragged into the turmoil, yielding 14%.
“Such attacks are unfortunately not new but are extremely violent in a context where our teams have been even more mobilized for two years by the health crisis”, commented Orpea.
To respond and “restore the truth of the facts and defend its honor as well as that of its collaborators”, the group has “already seized its lawyers to take all the necessary steps, including on the judicial level”, has he indicated.
The company also recalled conducting a satisfaction survey of its residents and families each year, carried out by an independent external body, the latest results of which show an average recommendation rate of 95%.
“In addition, Orpea operates in a sector that is subject to strict regulations and regular checks by public authorities,” she added.
-Francois Berthon, Agefi-Dow Jones; +33 (0)1 41 27 47 93; [email protected] ed: ECH
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January 24, 2022 13:20 ET (18:20 GMT)