The company which operated Bedes View Care Home in east Hull was fined £100,000 and the managers who oversaw its day-to-day running hit with further fines for failing to stop the shameful catalogue of violence and abuse.
Humberside Crown Prosecution Service became the first area in the country to successfully prosecute a company and its managers under the Health and Safety at Work Act.
Partnerships in Care, which owned an east Hull residential care home for adults with physical and mental disabilities, was fined £100,000 plus £25,000 costs at Hull Crown Court for failing to protect its residents from mistreatment at the hands of some of their carers.
Five senior managers were also fined following their convictions under the Health and Safety at Work Act for failing in their duty to protect residents from mistreatment.
Manager John Hall, deputy manager Dawn Campy and junior manager Christine Garner, all employed at Bedes View Care Home, owned by Partnerships in Care and run by East Riding Care, pleaded guilty at the start of their trial at Hull Crown Court, to failing to take appropriate steps to prevent ill-treatment or neglect at the home.
Manager Garry Robinson pleaded guilty to the same charge at a hearing in August and another manager, Dean Smith, was found guilty by a jury of failing to act on reports of abuse.
Hall was fined £4,000 with £500 costs; Campy fined £2,000 with £500 costs; Robinson fined £750 with £500 costs; Garner fined £360 with £360 costs and Smith fined £500 with £1,000 costs.
In March seven carers from the Bedes View home in east Hull were sentenced to a total of 66 months in prison. Managers failed to act after witnesses complained.
The court heard that carers persistently abused and humiliated patients, most of whom had a mental age of under two years and suffered serious disabilities, with a catalogue of humiliating and rough behaviour such as force feeding, shouting, slapping, hair pulling, swearing and dragging residents across the floor.
Humberside Chief Crown Prosecutor Nigel Cowgill said: "This is a very significant result. It shows that where there are reports of abuse, care home companies and those that run them cannot simply bury their heads in the sand. Partnerships in Care and its managers had a duty to protect the very vulnerable people in their care.
"By failing to act on the information they had, these people were subject to sustained abuse over a three-year period."
Partnerships in Care pleaded guilty in April to failing to ensure the health and safety of residents based on allegations of failing to take appropriate action to investigate and prevent ill-treatment of vulnerable adults.
It offered a profound apology and said its failings were not motivated by greed or financial gain.
The seven care workers were jailed earlier this year after they were successfully prosecuted on 23 counts of wilful neglect and ill-treatment of the severely mentally and physically disabled patients in their care between 1998 and 2002.