In response to a recent New York Times Article (Insiders Sound an Alarm Amid a Natural Gas Rush, June 25, 2011) concerning inflated projections for the production of natural gas from three shale gas formations, the SEC has issued subpoenas to at least two producers, Quicksilver Resources, Inc. and Exco Resources,
The new SEC whistleblower provisions take effect today. A new website is up and running regarding this program:
The IRS gave its 2010 report to Congress on the Use of Section 7623, more commonly known as the IRS Whistleblower Law. Some of its highlights include an increase in staffing in the department from 17 to 21 during fiscal year 2010. Additionally, the IRS has invested in a new software program.
The jury trial in the civil lawsuit against Blackwater (now Xe Services), “hangs by a thread,” U.S. District Court Judge T.S. Ellis III stated, after throwing out several claims against the company. The case was initially brought in 2008 under the False Claims Act by Melan Davis, a former Blackwater employee.
A Kuwaiti food supplier could face charges of defrauding the U.S. government as federal prosecutors investigate claims against The Public Warehouse Company, also known as Agility. The alleged fraud is to the tune of $68 million, and involves a complex scheme of funding formulas used to defraud contracts to supply troops in Iraq,
U.S. District Court Judge Royce Lamberth has ruled against the largest private contractor in Iraq and Afghanistan in a lawsuit brought by the U.S. government. Houston based contractor KBR Inc.’s request to dismiss a $100 million lawsuit involving false claims for private security in Iraq was denied on August 3.
The number of Qui Tam false claims cases has grown by double digits each year, since amendments were made to the False Claims Act (FCA) in 1986. Approximately 7,200 Qui Tam cases have been filed since 1987, according to the U.S. Department of Justice (DOJ). The major trend, in addition to the increase in filings,
Between January 2009 and June 2011, the DOJ recovered more than $7.3 billion in civil settlements and judgments under the False Claims Act. Assistant Attorney General for the Civil Division Tony West stated that the DOJ “has never been more aggressive—or more successful—in the anti-fraud battle as it has in the last two years.” State recoveries are also reaching record-highs and looking to pass or amend aggressive false claims statutes patterned after the FCA.
Home Depot was sued for false claims for selling Chinese goods to the federal government in violation of the Buy American Act. That act requires all materials used in construction of public projects to originate in the United States or “designated countries.” GSA contracts with Home Depot authorize government agencies to purchase thousands of products from Home Depot’s designated website while many of the products on the website are actually manufactured in China and other non-designated countries.
The New York Times reports that hospice care is under the microscope for care and treatment that may not be necessary. The amount of money spent on hospice care grew from $2.9 billion in 2000 to more than $12 billion in 2009. The increase is attributable to Medicare regulations some years ago that demonstrated that allowed for hospice care as a cost-effective way of caring for individual near the end of life.
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.