Under the Federal Rules of Civil Procedure, a plaintiff who claims that a defendant engaged in fraudulent conduct must allege facts in his or her complaint demonstrating that a fraud took place. A split has developed among the circuits regarding how this requirement applies to one who is bringing a claim under the False Claims Act.
In a qui tam suit brought against Allergan, the U.S. Attorney’s Office in Philadelphia argued that the Anti-Kickback Statute should be interpreted more broadly to bar payment in exchange for health care services paid for by the Government. The government made this argument in a Statement of Interest filed in the non-intervened case of U.S.
On June 3rd, the Securities and Exchange Commission awarded more than $875,000, to be split evenly, to two whistleblowers that provided high-quality tips and assistance resulting in an enforcement action in a complex area of the securities market.
The Dodd-Frank Act authorized the SEC’s whistleblower program which awards 10 to 30 percent of the money collected in cases resulting in sanctions exceeding $1 million.
Medtronic, Inc., a Fridley, Minnesota company, is alleged to have used various types of payments as incentives to physicians for implantation of pacemakers and defibrillators. Under the False Claims Act, the company agreed to pay 9.9 million dollars to resolve these allegations.
The Justice Department announced that Ashland Hospital Corp. d/b/a King’s Daughters Medical Center (KDMC) has agreed to pay nearly $41 million for needless medical procedures, between 2006 and 2011, including coronary stents and diagnostic catherizations that were submitted falsely to the Kentucky Medicaid and federal Medicare programs. It is also alleged that the hospital had a prohibited financial relationship with physician to refer patients to the hospital.
A United States Magistrate Judge in the Middle District of Florida has recommended that Halifax Hospital Medical Center (“Halifax”) be sanctioned for “reprehensible” discovery abuses.
Astellas Pharma US Inc. has agreed to pay $7.3 million to resolve claims that it marketed and promoted Mycamine for pediatric use from 2005 through 2010, in violation of the False Claims Act. During that period, Mycamine was approved to treat serious fungal infections in adults. State Medicaid programs will receive $3.1 million of the settlement monies and the remaining $4.2 million will be paid to the federal government.
The Hope Cancer Institute, based in Kansas City, Kansas, and its Director, Dr. Raj Sadasivan, will pay $2.9 million to resolve a lawsuit filed by three former employees of the under the qui tam provisions of the False Claims Act.
The IRS today released to the U.S. Senate its annual update on its whistleblower program, which was characterized by numerous attorneys quoted in Sunday’s Pittsburgh Post-Gazette as a failure.
The Securities and Exchange Commission today announced that the whistleblower who received the first award under the agency’s new whistleblower program will receive an additional $150,000 payout after the SEC collected additional funds in the case. The whistleblower…has now been awarded a total of nearly $200,000 since the award was announced on Aug.
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.