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May 9, 2014 Healthcare Fraud

Tennessee Substance Abuse Facility New Life Lodge Settles Allegations of Medicaid Fraud

In a recent settlement out of Tennessee, California-based CRC Health Group, Inc. has agreed to pay $9.25 million to settle allegations of Medicaid fraud involving one of its addiction treatment centers located in the city of Burns. The settlement is the result of a joint investigation by the Tennessee Attorney […]
May 7, 2014 Healthcare Fraud

Doctor Settles Allegations of Performing Unnecessary Nasal Surgery on Pediatric Medicaid Patients

In yet another healthcare fraud case, an Oklahoma-based hospital, its parent company Health Management Associates, and Dr. Daniel Castro have agreed to settle a whistleblower lawsuit filed under the federal False Claims Act and its Oklahoma counterpart. According to the allegations found in the complaint, the medical professionals involved were […]
May 6, 2014 Healthcare Fraud

Hope Center Institute Submits False Claims to Federal Government, Settles for $2.9 Million

The Kansas-based cancer center known as Hope Cancer Institute and one of its physicians recently settled with the U.S. government over allegations of fraudulent billing practices. In the healthcare industry alone, the False Claims Act has been pivotal in recovering billions of dollars on behalf of American taxpayers. In fact, […]
May 5, 2014 False Claims Act Legal News

Federal Circuit Courts Split on Pivotal “First to File” Issue

The False Claims Act is a piece of federal legislation. Therefore, lawsuits arising under its provisions are settled by the federal District, Circuit, and Supreme Courts. While FCA Supreme Court precedent is continuing to emerge each year, District and Circuit courts are regularly faced with issues directly impacting whistleblowers and […]
May 2, 2014 Healthcare Fraud

Pharmacy Company Astellas to Pay $7.3 Million in False Claims Act Settlement

The Department of Justice, in concert with several states’ attorneys general, recently announced a settlement against Astellas Pharma U.S., Inc., based in Northbrook, Illinois. The case involved substantial allegations of off-label marketing practices aimed at pediatric federal healthcare patients. As you well know, it is considered a violation of the […]
May 1, 2014 False Claims Act Legal News

Eighth Circuit Confirms $8 Million Whistleblower Reward

In a price-fixing case originating in 2004, two whistleblowers have finally reaped their reward under the False Claims Act and its qui tam provisions. In Rille, ex rel. United States v. PricewaterhouseCoopers, LLC, et al., two relators successfully defeated the DOJ’s motion to preclude recovery of the whistleblower reward citing […]
April 30, 2014 Healthcare Fraud

Louisiana-Based Home Healthcare Company Amedisys to Pay $150 Million to Settle False Claims Act Allegations

Amedisys, Inc. and its affiliates have agreed to pay $150 million to the federal government in order to settle allegations of fraud and misconduct. According to statements revealed earlier this month, the Department of Justice settled with the home healthcare and hospice provider after uncovering several years’ worth of improper […]
April 29, 2014 Mortgage Fraud

Office of Inspector General Offers Suggestions to the DOJ to Combat Mortgage Fraud

In yesterday’s post, we began examining a recent audit of the Department of Justice with regard to its mortgage fraud division. Specifically, the Office of Inspector general reviewed several reports offered by the DOJ since the 2008 housing bubble burst and questioned the Department’s record-keeping and prioritization of this devastating […]
April 28, 2014 Mortgage Fraud

Office of Inspector General Reveals Several Weak Areas of DOJ’s Response to Mortgage Fraud

We regularly report on the effects of mortgage fraud, including several high-profile cases between the Office of Housing and Urban Development (HUD) and several large banking institutions. Mortgage fraud can occur in any number of ways, including false assertions by lenders that borrowers should qualify for mortgage insurance or failing […]
April 25, 2014 Healthcare Fraud

Pfizer Unsuccessful in Avoiding Off-Label Marketing False Claims Act Case

In a recent False Claims Act case involving the mental health drug Geodon, Pfizer reportedly lost its bid to have the case dismissed after unsuccessfully arguing, among other claims, that relators failed the “first-to-file” and “public disclosure” requirements contained within the language of the FCA. Specifically, the FCA precludes whistleblowers […]
April 24, 2014 Environmental Fraud

Unsealed Whistleblower Complaint Reveals Allegations of Intentional Carcinogenic Pollution by DuPont

The False Claims Act is drafted to address nearly any type of false claim made by an individual or corporation to the federal government. The FCA was originally implemented to address wartime misconduct, but has since grown to include many other instances of fraud. In today’s case, we explore a […]
April 23, 2014 Military Contractor Fraud

Hawker Beechcraft Unsuccessfully Attempts to Avoid FCA Liability Through Bankruptcy

Late last month, a federal judge reversed a bankruptcy court’s decision to alleviate military aircraft contractor Hawker Beechcraft from liability under a False Claims Act whistleblower lawsuit. The bankruptcy court relied on the fact that military contractor Hawker Beechcraft was recently sold to Textron, Inc. as part of its Chapter […]
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