The U.S. Commodities and Futures Trading Commission (“CFTC”) has approved an award of more than $10 million to a tipster through its whistleblower program. The award – only the third in the program’s five-year history – is not only the largest ever approved by the agency, it is more than 30 times larger than its closest competitor,
On March 28, the U.S. District Court for the District of South Carolina advanced a plaintiff-friendly interpretation of the False Claims Act’s (“FCA’s”) first-to-file rule. It recognized that naming new defendants who are related to defendants named in previously filed complaint and complicit in the alleged fraud renders the subsequent complaint sufficiently different to pass muster under the rule.
Last week, in Tyson Foods v. Bouaphakeo, — S. Ct. —-, 2016 WL 1092414, the U.S. Supreme Court affirmed a district court decision certifying a class of workers who sued Tyson Foods under the Fair Labor Standards Act (“FLSA”) and Iowa state labor law for short-changing them the time it took to change in and out of their protective gear,
Respironics is to pay $34.8 million for alleged False Claims Act violations related to the sale of sleep masks designed to treat sleep apnea. Allegedly Respironics, a Murrysville, PA based company, paid kickbacks in the form of free call center services to durable medical equipment (DME) companies that purchased the masks.
On Monday, February 29, 2016, the Justice Department announced that the Lockheed Martin Corporation and its subsidiaries Lockheed Martin Energy Systems and Lockheed Martin Utility Services (collectively, Lockheed Martin) agreed to pay the United States $5 million to resolve allegations that they violated the Resource Conservation and Recovery Act (RCRA).
The U.S. Court of Appeals for the Ninth Circuit reversed a district court order dismissing the False Claims Act (“FCA”) lawsuit brought by Relator Steven Mateski against his former employer, Raytheon. The suit, which potentially exposes Raytheon to more than $1 billion in damages, is based on allegations that the company failed to comply with provisions of its contract with the government to develop a sensor for a meteorological satellite,
Ameri-Source International, Inc.; Ameri-Source Specialty Products, Inc.; Ameri-Source Holdings, Inc. and SMC Machining, LLC are Pennsylvania-based importers. Arjay Goel and Thomas Diener owned the first three companies while SMC Machining, Inc. was incorporated at Goel’s direction. The businesses and Goel and Diener were named as defendants in a False Claims Act lawsuit alleging that that they had schemed to avoid customs duties for the import of small-diameter graphic electrodes which were manufactured in the Peoples Republic of China.
On Tuesday, February 9, 2016, President Barack Obama announced that he was seeking $29 billion in funding for the U.S. Department of Justice (“DOJ”) in his budget for fiscal year 2017. The requested funds will support federal law enforcement priorities and includes increases in funding for countering violent extremism and other national security areas,
Last week, the U.S. Court of Appeals for the Third Circuit interpreted the False Claims Act’s (“FCA’s”) public disclosure bar, as modified by the 2010 amendments, in a manner favorable to potential relators. The bar, added to the FCA in 1986, precludes a would-be relator from filing suit based on allegations of fraud that were publicly disclosed in certain sources,
The United States has secured a $9 million settlement from URS E&C Holdings, Inc., a successor in interest to Washington Group International, Inc., to resolve False Claims Act allegations. According to the settlement, Washington Group International, Inc., a global design and construction company, was awarded contracts in the 1990s by the United States Agency for International Development (USAID) for the construction of water and wastewater infrastructure projects in the Arab Republic of Egypt.
If you are aware of any person, corporation or entity that you think may be violating the False Claims Act, securities, commodities, tax, anti-money laundering, or sanctions laws, contact us today.