A Darlington based care home provider, which owned a residential unit where widespread abuse was exposed, has gone into administration.
Castlebeck Care Group runs nine homes in the North East and eleven nationwide, including Winterbourne View in Bristol, which closed after systematic abuse was revealed.
The administrators are now searching for a buyer.
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Castlebeck's problems arguably began the day it hit the national headlines in 2011 following abuse that was uncovered by BBC Panorama.
11 care home workers were found guilty of abuse and sentenced. A 'root and branch review' of care in all of the company's care homes was ordered by the regulator.
For the Darlington-based company the biggest task was restoring public confidence. It closed two of its care homes and reduced capacity in others. But this has affected profits and the company finds itself in the position it is today.
Darlington-based care home provider Castlebeck is in administration. The company, which operates 20 care homes across the country, was at the centre of a major scandal after a BBC Panorama investigation uncovered abuse at its home in Winterbourne View, in Gloucestershire.
Castlebeck was ordered to carry out root and branch improvements to its services by the industry regulator. The company operates seven homes across the North East. Administrators Grant Thornton say all residents will receive care from the firm while a buyer is found.