State and Federal government officials are seeking US$101,000 in penalties and fines from the Continental Nursing & Rehabilitation Centre in Chicago after five of its aged care residents overdosed on heroin earlier this year.

It’s alleged that while the residents were taken to hospital and recovered, at least two used heroin again hours after they were returned to the aged care facility, even though they were supposed to be under close watch.

The Department of Health has also opened an investigation into another drug overdose in 2015 involving a 56-year-old resident after the Chicago Tribune newspaper raised a query about the incident.

Under state law, aged care homes are required to notify the Department of any unusual events that put residents at risk, but officials only learned about this case from the paper.

The aged care home, which houses both older residents and younger adults with mental illness, is just one of over 50 facilities Continental has across eight states.