Scandal-hit CEO of California rehab site that was shut down after being raided by FBI has new mental health facility run out of his $3M MANSION - sparking fury from his neighbors

The home of a controversial CEO who previously ran a scandal hit mental health facility is now being used as a rehab facility, angering neighbors. 

Sovereign boss Tonmoy Sharma had previously been the head of the Orange County facility, which was once one of the largest rehab companies in the country. 

In 2018, following an FBI raid and multiple lawsuits filed against Sovereign, the company was officially closed down. 

Now, his San Juan Capistrano home is being used as a residential treatment facility, much to the chagrin of his former neighbors. 

Dana Shores Recovery promises 'expert and private addiction and mental health recovery' within the $3,000,000 home. 

The San Juan Capistrano home is being used as a residential treatment facility, much to the chagrin of his former neighbors

Sovereign boss Tonmoy Sharma, seen here, had previously been the head of the Orange County facility, which was once one of the largest rehab companies in the country

According to records seen by NBC, the CEO of Dana Shores Recovery is listed as a Charles Hohman. 

When the outlet appeared at the address to speak to the owner, Hohman answered the door and repeatedly told them he had no idea who Sharma is. 

Despite his claims, further records obtained by the outlet indicate that Hohman is paying $10,000 a month in rent to Galahad Asset Management and Trust.  

While there is no mention of Sharma on the agreement, Galahad Asset Management and Trust is managed by him. 

Stunned neighbors told the outlet how they had been horrified to find out a facility had opened up on their doorsteps. 

One neighbor told them: 'It was really kind of terrifying. It’s something you see on TV. You never think it’s going to happen in your neighborhood.'

Another added: 'I was stunned. Even though I knew who Sharma was, even though I knew his history, it was his primary residence.'

While another said: 'This has all happened in the last few weeks, with what appears to be a full-blown business in a residential community. I think all the neighbors are really concerned.'

Dana Shores Recovery promises 'expert and private addiction and mental health recovery' within the $3,000,000 home

Records obtained by the outlet indicate that Hohman is paying $10,000 a month in rent to Galahad Asset Management and Trust for the home

Stunned neighbors told the outlet how they had been horrified to find out a facility had opened up on their doorsteps

Further investigation by NBC shows that Hohman is involved in ongoing litigation with the city of Montclair after allegedly running an illegal cannabis dispensary. 

The new facility, which is only certified to treat six residents, treats those with 'marijuana addiction', amongst other drugs. 

Laurie Girand formed 'Advocates for Responsible Treatment' after a Sovereign facility opened in her neighborhood, which started to cause problems. 

She told the outlet: 'There were 19 calls in 9 months in 2016. We had people running away from the house multiple times.

'How is it that the state of California, knowing everything it knows about Tonmoy Sharma and about his history with Sovereign Health is allowing him to continue to profit off businesses that’s related to addiction treatment or mental health?'

The embattled treatment provider closed its facilities in 2018 amid financial difficulties

The FBI and state agents raided multiple locations in 2017 of the company as part of a probe into fraud

Sharma lost his medical license in the UK in 2008 and then moved to California and set up Sovereign Health. 

The FBI and state agents raided multiple locations in 2017 of the company as part of a probe into fraud, according to the Orange County Register. 

It remains unclear what the outcoming of the FBI investigation was, with regulators wanting information surrounding the raids kept private, according to the outlet. 

Rose and Allen Nelson's son Brandon had killed himself at one of the facilities ran by Sharma six years ago. 

Mom Rose Nelson told the outlet: 'You’re dealing with people’s lives, these are people that are vulnerable that may not make it through.'

The couple said they trusted Sovereign's promises of quality mental health services, adding: 'It was marketed like that. It was all lies.'

Last year, they settled with Sharma and the insurance company of Sovereign Health for $11 million. 

Insurance company Healthnet also recently won a $45 million verdict for fraud and racketeering against Sharma and Sovereign, which is on appeal. 

In 2019, a client who suffered brain damage after overdosing on painkillers while at a treatment facility won $8.88 million from the company.