Category: Federal False Claims Act

U.S. Sues Canadian Firm Over Bullet Vests

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,

United States Intervenes in False Claims Act Suit Against Virginia Medicaid Providers

The United States and the Commonwealth of Virginia have intervened in a False Claims Act suit in the Western District of Virginia against the Medicaid providers Universal Health Services Inc., Keystone Marion LLC and Keystone Education and Youth Services LLC, the Justice Department announced today. They did business as the Keystone Marion Youth Center,

Flaws Found in Body Armor Tests

The Government Accountability Office has reported that the the Army deviated from established standards in testing conducted last year of ballistic vests that contain hardened ceramic plates that protect the upper bodies of soldiers from enemy bullets and shrapnel. The audit recommends pulling 33,000 ceramic plates from the Army’s inventory of nearly 2 million.

Harborside Healthcare to Pay U.S. $1.375 Million to Resolve Allegations of Kickbacks and Sham Durable Medical Services

The United States Department of Justice announced that Harborside Healthcare and HHC Nutrition Services will pay the United States $1.375 million to resolve False Claims Act allegations that the company received kickback and assistance under the guise of sham durable medical equipment (DME) provider.   The government alleged that McKesson Corp.,

Lilly Settles Suit With South Carolina Over Zyprexa

Eli Lilly & Co. agreed to settle a lawsuit brought by South Carolina claiming the company improperly marketed its antipsychotic Zyprexa, averting a trial in which the state planned to seek $6 billion.   South Carolina sought reimbursement for the costs of Zyprexa prescriptions and alleged Zyprexa-related illnesses. The state claimed Lilly pushed doctors to prescribe the medication and withheld information about Zyprexa’s side effects such as weight gain.

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