Collage by ProPublica. Portrait illustration by Brian Lutz, special to ProPublica.
Subscribe for Updates!
Join our mailing list to receive the latest news and updates from our team.
You have Successfully Subscribed!
Beers family members built a “conglomerate” by selling a Christian alternative to traditional health insurance. They’re now scrambling for cash, even though they received millions in PPP loans that were later forgiven.
In just a handful of years, members of a Canton, Ohio, family built a financial empire that included a boutique airline, a bank in the Missouri Ozarks, a chain of carpet stores, a marijuana farm in Oregon, and more than $20 million in real estate. The “conglomerate,” as the Beers family calls it, was made possible by hundreds of millions of dollars collected from Americans who thought they had found an affordable alternative to medical insurance. Instead, many were saddled with debt.
The conglomerate, however, is showing signs of strain as the family downsizes its workforce and sells off some of its holdings. These moves will free up cash, said an attorney who represents several family members, and allow them to pay off a court settlement related to its alleged fraud. Now, another big debt has come their way: Several family members face liens placed against their properties for millions in back taxes.
A ProPublica investigation earlier this year revealed how Liberty HealthShare—the Christian nonprofit the family controlled and marketed as a cheap way to circumvent Obamacare requirements—paid at least $140 million to vendors owned by members and friends of the Beers family. Those family members and friends then funneled the money through a network of shell companies to purchase scores of businesses. As the family amassed wealth, Liberty’s finances were depleted and thousands of members’ medical bills went unpaid.
As part of the settlement with the Ohio attorney general’s office in 2021, Liberty HealthShare severed all ties with the family.
Members of the family, including patriarch Daniel J. Beers, and their attorneys, have denied wrongdoing. They claim that the family-owned vendors—Cost Sharing Solutions and Medical Cost Solutions LLC—charged Liberty market rates or less for their services, which included running a call center and negotiating bill payments with doctors and hospitals.
In January, Cost Sharing Solutions laid off all but a handful of staff, according to current and former employees. “They have no money,” said one source who asked to remain anonymous because of the nondisclosure agreements that the company required employees to sign. “It’s all gone.” From 2014 to 2021, Liberty paid Cost Sharing Solutions at least $90 million.
Last month, members of the family auctioned off more than 470 acres they owned outside of Canton. Those parcels constituted roughly half of the Lazy L Ranch, the compound where most of the family lives. “From its hilltop panoramic views to wooded valleys and open farm fields, this property will take your breath away,” the auction notice read. Purchase prices and the identities of the buyers have not yet been made public.
The IRS has recently secured liens against parcels of the ranch that family members still own. Property records show that Beers’ sons, Danny and Ronnie, owe $2.9 million and $1.1 million in federal income taxes for 2017 to 2021. Brandon Fabris, who also lives on the ranch and serves as chief operating officer of Cost Sharing Solutions, owes more than $700,000 in federal taxes.
Family members have also recently sold their controlling stake in Ultimate Air Charters, a small airline that caters to gamblers who travel from Canton to locales such as Atlantic City. Rick Arnold, the attorney who represents Beers and many of the companies that family members own, said the airline was sold to an entity outside of the family. He would not disclose its identity, which also has not been made public in Ohio business filings, and did not respond to questions about the federal tax liens on the Beers and Fabris homes.
In addition to the monthly dues that Liberty members paid for coverage of their medical bills, all of these ventures benefited from taxpayer money. Seven entities in the conglomerate received more than $6.3 million in COVID-19 relief funds, the vast majority of which was forgiven by the federal government, according to a ProPublica analysis of Paycheck Protection Program data. Cost Sharing Solutions, claiming it would save 168 jobs, obtained more than $1 million in April 2020 and another $1 million in January 2021. Ohio Lazy L Ranch LTD collected more than $80,000, and Ultimate Air Charters secured more than $2.9 million.
Arnold said the layoffs and sales are a way for his clients to pay $5 million in collective damages from the settlement with the Ohio attorney general’s office. Although the agreement with the state calls for monthly payments, Arnold says his clients have negotiated a new deal to send a lump sum “within the next couple of months.”
“It was part of a greater business plan,” Arnold said of the recent transactions. “It also creates liquidity and allows them to pay the attorney general.”
Beers and the two family-controlled vendors have missed several payments and are in arrears for $290,000 and $690,000, according to records from the attorney general’s office. A spokesperson for the Ohio attorney general said the payment schedule and agreement have not changed, despite Arnold’s claim.
In 2021, Liberty members whose medical bills languished and were referred to collections filed a class-action lawsuit against the Beers family, the ministry and the two vendors. The defendants have filed a motion to dismiss, which is pending.
ProPublica is an independent, nonprofit newsroom that produces investigative journalism with moral force. They dig deep into important issues, shining a light on abuses of power and betrayals of public trust — and they stick with those issues as long as it takes to hold power to account.
With a team of more than 100 dedicated journalists, ProPublica covers a range of topics including government and politics, business, criminal justice, the environment, education, health care, immigration, and technology. They focus on stories with the potential to spur real-world impact. Among other positive changes, their reporting has contributed to the passage of new laws; reversals of harmful policies and practices; and accountability for leaders at local, state and national levels.
{"id":null,"mode":"form","open_style":"in_place","currency_code":"USD","currency_symbol":"$","currency_type":"decimal","blank_flag_url":"https:\/\/factkeepers.com\/wp-content\/plugins\/tip-jar-wp\/\/assets\/images\/flags\/blank.gif","flag_sprite_url":"https:\/\/factkeepers.com\/wp-content\/plugins\/tip-jar-wp\/\/assets\/images\/flags\/flags.png","default_amount":500,"top_media_type":"none","featured_image_url":false,"featured_embed":"","header_media":null,"file_download_attachment_data":null,"recurring_options_enabled":true,"recurring_options":{"never":{"selected":true,"after_output":"One time only"},"weekly":{"selected":false,"after_output":"Every week"},"monthly":{"selected":false,"after_output":"Every month"},"yearly":{"selected":false,"after_output":"Every year"}},"strings":{"current_user_email":"","current_user_name":"","link_text":"Leave a tip","complete_payment_button_error_text":"Check info and try again","payment_verb":"Pay","payment_request_label":"Factkeepers.com","form_has_an_error":"Please check and fix the errors above","general_server_error":"Something isn't working right at the moment. Please try again.","form_title":"Help Support Factkeepers","form_subtitle":null,"currency_search_text":"Country or Currency here","other_payment_option":"Other payment option","manage_payments_button_text":"Manage your payments","thank_you_message":"Thank you for being a supporter!","payment_confirmation_title":"Factkeepers.com","receipt_title":"Your Receipt","print_receipt":"Print Receipt","email_receipt":"Email Receipt","email_receipt_sending":"Sending receipt...","email_receipt_success":"Email receipt successfully sent","email_receipt_failed":"Email receipt failed to send. Please try again.","receipt_payee":"Paid to","receipt_statement_descriptor":"This will show up on your statement as","receipt_date":"Date","receipt_transaction_id":"Transaction ID","receipt_transaction_amount":"Amount","refund_payer":"Refund from","login":"Log in to manage your payments","manage_payments":"Manage Payments","transactions_title":"Your Transactions","transaction_title":"Transaction Receipt","transaction_period":"Plan Period","arrangements_title":"Your Plans","arrangement_title":"Manage Plan","arrangement_details":"Plan Details","arrangement_id_title":"Plan ID","arrangement_payment_method_title":"Payment Method","arrangement_amount_title":"Plan Amount","arrangement_renewal_title":"Next renewal date","arrangement_action_cancel":"Cancel Plan","arrangement_action_cant_cancel":"Cancelling is currently not available.","arrangement_action_cancel_double":"Are you sure you'd like to cancel?","arrangement_cancelling":"Cancelling Plan...","arrangement_cancelled":"Plan Cancelled","arrangement_failed_to_cancel":"Failed to cancel plan","back_to_plans":"\u2190 Back to Plans","update_payment_method_verb":"Update","sca_auth_description":"Your have a pending renewal payment which requires authorization.","sca_auth_verb":"Authorize renewal payment","sca_authing_verb":"Authorizing payment","sca_authed_verb":"Payment successfully authorized!","sca_auth_failed":"Unable to authorize! Please try again.","login_button_text":"Log in","login_form_has_an_error":"Please check and fix the errors above","uppercase_search":"Search","lowercase_search":"search","uppercase_page":"Page","lowercase_page":"page","uppercase_items":"Items","lowercase_items":"items","uppercase_per":"Per","lowercase_per":"per","uppercase_of":"Of","lowercase_of":"of","back":"Back to plans","zip_code_placeholder":"Zip\/Postal Code","download_file_button_text":"Download File","input_field_instructions":{"tip_amount":{"placeholder_text":"How much would you like to donate? You can change this amount to anything you would like.","initial":{"instruction_type":"normal","instruction_message":"How much would you like to donate? You can change this amount to anything you would like."},"empty":{"instruction_type":"error","instruction_message":"How much would you like to donate? You can change this amount to anything you would like."},"invalid_curency":{"instruction_type":"error","instruction_message":"How much would you like to donate? You can change this amount to anything you would like."}},"recurring":{"placeholder_text":"Recurring","initial":{"instruction_type":"normal","instruction_message":"How often would you like to donate this?"},"success":{"instruction_type":"success","instruction_message":"How often would you like to donate this?"},"empty":{"instruction_type":"error","instruction_message":"How often would you like to donate this?"}},"name":{"placeholder_text":"Name on Credit Card","initial":{"instruction_type":"normal","instruction_message":"Enter the name on your card."},"success":{"instruction_type":"success","instruction_message":"Enter the name on your card."},"empty":{"instruction_type":"error","instruction_message":"Please enter the name on your card."}},"privacy_policy":{"terms_title":"Terms and conditions","terms_body":null,"terms_show_text":"View Terms","terms_hide_text":"Hide Terms","initial":{"instruction_type":"normal","instruction_message":"I agree to the terms."},"unchecked":{"instruction_type":"error","instruction_message":"Please agree to the terms."},"checked":{"instruction_type":"success","instruction_message":"I agree to the terms."}},"email":{"placeholder_text":"Your email address","initial":{"instruction_type":"normal","instruction_message":"Enter your email address"},"success":{"instruction_type":"success","instruction_message":"Enter your email address"},"blank":{"instruction_type":"error","instruction_message":"Enter your email address"},"not_an_email_address":{"instruction_type":"error","instruction_message":"Make sure you have entered a valid email address"}},"note_with_tip":{"placeholder_text":"Your note here...","initial":{"instruction_type":"normal","instruction_message":"Attach a note to your tip (optional)"},"empty":{"instruction_type":"normal","instruction_message":"Attach a note to your tip (optional)"},"not_empty_initial":{"instruction_type":"normal","instruction_message":"Attach a note to your tip (optional)"},"saving":{"instruction_type":"normal","instruction_message":"Saving note..."},"success":{"instruction_type":"success","instruction_message":"Note successfully saved!"},"error":{"instruction_type":"error","instruction_message":"Unable to save note note at this time. Please try again."}},"email_for_login_code":{"placeholder_text":"Your email address","initial":{"instruction_type":"normal","instruction_message":"Enter your email to log in."},"success":{"instruction_type":"success","instruction_message":"Enter your email to log in."},"blank":{"instruction_type":"error","instruction_message":"Enter your email to log in."},"empty":{"instruction_type":"error","instruction_message":"Enter your email to log in."}},"login_code":{"initial":{"instruction_type":"normal","instruction_message":"Check your email and enter the login code."},"success":{"instruction_type":"success","instruction_message":"Check your email and enter the login code."},"blank":{"instruction_type":"error","instruction_message":"Check your email and enter the login code."},"empty":{"instruction_type":"error","instruction_message":"Check your email and enter the login code."}},"stripe_all_in_one":{"initial":{"instruction_type":"normal","instruction_message":"Enter your credit card details here."},"empty":{"instruction_type":"error","instruction_message":"Enter your credit card details here."},"success":{"instruction_type":"normal","instruction_message":"Enter your credit card details here."},"invalid_number":{"instruction_type":"error","instruction_message":"The card number is not a valid credit card number."},"invalid_expiry_month":{"instruction_type":"error","instruction_message":"The card's expiration month is invalid."},"invalid_expiry_year":{"instruction_type":"error","instruction_message":"The card's expiration year is invalid."},"invalid_cvc":{"instruction_type":"error","instruction_message":"The card's security code is invalid."},"incorrect_number":{"instruction_type":"error","instruction_message":"The card number is incorrect."},"incomplete_number":{"instruction_type":"error","instruction_message":"The card number is incomplete."},"incomplete_cvc":{"instruction_type":"error","instruction_message":"The card's security code is incomplete."},"incomplete_expiry":{"instruction_type":"error","instruction_message":"The card's expiration date is incomplete."},"incomplete_zip":{"instruction_type":"error","instruction_message":"The card's zip code is incomplete."},"expired_card":{"instruction_type":"error","instruction_message":"The card has expired."},"incorrect_cvc":{"instruction_type":"error","instruction_message":"The card's security code is incorrect."},"incorrect_zip":{"instruction_type":"error","instruction_message":"The card's zip code failed validation."},"invalid_expiry_year_past":{"instruction_type":"error","instruction_message":"The card's expiration year is in the past"},"card_declined":{"instruction_type":"error","instruction_message":"The card was declined."},"missing":{"instruction_type":"error","instruction_message":"There is no card on a customer that is being charged."},"processing_error":{"instruction_type":"error","instruction_message":"An error occurred while processing the card."},"invalid_request_error":{"instruction_type":"error","instruction_message":"Unable to process this payment, please try again or use alternative method."},"invalid_sofort_country":{"instruction_type":"error","instruction_message":"The billing country is not accepted by SOFORT. Please try another country."}}}},"fetched_oembed_html":false}
