On December 11, 2009, the United States House of Representatives approved The Wall Street Reform and Consumer Protection Act (H.R. 4173). The legislation is aimed at reforming the financial services industry in the wake of the recent economic crisis. Significantly, the legislation contains a whistleblower incentive program. Under the program,
An orthopaedic sports medicine clinic in Los Angeles, California, has agreed to pay $3 million to the United States government to settle allegations that it received illegal kickbacks from HealthSouth Corporation. The Kerlan Jobe Orthopaedic Clinic, a prominent practice whose patients have included numerous pro athletes, allegedly received kickbacks from HealthSouth Corporation in the form of loan forgiveness,
A state whistleblower claim brought under California’s False Claims Act settled for $39 million last month, bringing to almost $60 million the total recovery that California water districts and municipalities, including the cities of San Francisco and Los Angeles, have recovered because of excessive lead levels in water valves and fittings manufactured by James Jones Company LLC.
The U.S. Government Accountability Office (GAO) released a report on November 19 finding that contractors falsely claiming to be run by disabled military veterans have defrauded the government of at least $100 million since 2003. Congress established goals for the distribution of a certain portion of federal contracts to small businesses that are owned and operated by vets injured in the course of active duty.
Earlier this week, the United States Department of Justice announced that it had secured $2.4 billion in settlements and judgments in cases involving fraud against the government in the fiscal year ending Sept. 30, 2009. This represents the second largest annual recovery of civil fraud claims in history, and brings total recoveries since 1986,
The United States Attorney’s Office for the District of Massachusetts announced the settlement of multiple false claims act cases against Omnicare, Inc. of Covington, Kentucky, for $98 million for soliciting and receiving multiple kickbacks. The first scheme involved Johnson and Johnson and kickbacks for recommending that physicians prescribe Risperdal, a J&J antipsychotic drug,
The US Department of Justice filed a lawsuit under the False Claims Act against defense contractor Kaman Dayron, Inc. for allegedly substituting non-conforming parts in sophisticated ignition devices supplied in “bunker buster” bombs. The lawsuit contends that Kaman Dayron knowingly substituted non-conforming parts that might cause the ignition devices to fire prematurely,
The manufacturer of devices for treatment of atrial fibrillation (irregular heartbeats) tentatively settled with the US Department of Justice allegations of false claims for $3.8 million. The DOJ claimed that the manufacturer, AtriCure, marketed its devices beyond the scope of its FDA clearance and by instructing hospitals to use incorrect Medicare billing codes.
The US Department of Justice sued a seller of bullet-proof vests, and several of manufacturers of component parts of the vests under the False Claims Act claiming that the vests were defective. The DOJ sued Lincoln Fabrics, Ltd. of Canada and its American subsidiary, Toyobo Co., Honeywell International, Inc. and others,
Fourteen states and the District of Columbia have filed a false claims act suit against Amgen, accusing the biotech company of using kickbacks to sell its anemia drug Aranesp (darbepoetin alfa).
In court papers filed Oct. 30 in U.S. District Court for the District of Massachusetts, the states and D.C.
If you are aware of any person, corporation or entity that you think may be violating the Federal False Claims Act or a State False Claims Act, contact us today.