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June 27, 2014
False Claims Act Legal News
What is ‘Fraud?’: Whistleblower Case Examines Distinction Between Intent and Mistake
Litigation under the federal False Claims Act has steadily increased in recent years, prompting litigants to regularly impose upon appellate courts various questions of law and legislative interpretation. As we reported last week, the U.S. Circuit Courts are evenly split over how specific a Relator must plead claims under the […]
June 26, 2014
SEC Fraud
SEC Settles Unprecedented Whistleblower Retaliation Lawsuit
Like several other federal agencies, the Securities and Exchange Commission has implemented a whistleblower program allowing those with first-hand knowledge of fraud to come forward, report what they know, and enjoy protection from employer retaliation. As we have reported in the past, employees choosing to report fraud to internal compliance […]
June 25, 2014
Healthcare Fraud
Justice Department Opts to Intervene in Whistleblower Lawsuit Against IPC the Hospitalist
The U.S. Department of Justice has opted to intervene in a whistleblower lawsuit against IPC the Hospitalist, Inc. – a nationwide group of physicians focused on the practice of the “delivery of hospital medicine and related facility-based services.” According to the allegations, IPC has engaged in the consistent practice of […]
June 24, 2014
Commodities Futures Trading Fraud
Commodity Futures Trading Commission and SEC Issue Whistleblower Rewards; Withhold Details
While healthcare fraud remains a top priority for the Department of Justice and other governmental agencies, several other areas of fraud are also on the rise – including misconduct against the Internal Revenue Service, Securities and Exchange Commission, and the Commodities Futures Trading Commission. All of these agencies recently implemented […]
June 23, 2014
Healthcare Fraud
Bon Secours Embroiled in Latest Rule 9(b) Discrepancy Within Federal Fourth Circuit
As we have reported in the past, the federal Courts of Appeal are engaged in a near-even split over the applicability of Federal Rule of Civil Procedure 9(b) to filings under the False Claims Act. Fed. R. Civ. P. Rule 9(b) reads as follows: In alleging fraud or mistake, a […]
June 20, 2014
Military Contractor Fraud
False Claims Act Defendant Blames Law Firm for Bad Advice Regarding Medical Supplies Contract with U.S. Army
The commission of fraud against the U.S. military is, quite literally, the oldest trick in the False Claims Act book. This sort of misconduct gave rise to the implementation of the False Claims Act during the Civil War and continues to present itself as an issue in need of elimination. […]
June 19, 2014
Healthcare Fraud
Recently-Unsealed Healthcare Fraud Case Reveals Whistleblowers Not Always Former Employee; Competitor Files Suit
It is often believed that in order to satisfy the False Claims Act’s “original source” requirement, one must be a former employee, patient, or colleague of the alleged fraudulent party. However, as today’s case illustrates, a whistleblower can be anyone – including a competitor. In a case unsealed late March […]
June 18, 2014
Healthcare Fraud
Whistleblowers Fight for Portion of Settlement Despite Possible Statute of Limitations Defense
Two courageous whistleblowers are taking their fight for a qui tam reward all the way to the United States Supreme Court, asserting the government would have never recovered the $36 million it received from Houston-area doctors Dr. Arun Sharma and Dr. Kiran Sharma but for their information and participation in […]
June 17, 2014
Healthcare Fraud
Recently-Released Data Portrays Alarming Physician Reimbursement Rate Under Medicare Part B
Early last month, the Centers for Medicare and Medicaid services publicly released their data pertaining to reimbursement amounts provided to physicians under the Medicare Part B program – and many industry officials are not too happy about the numbers. According to the Inspector General of the Department of Health and […]
June 16, 2014
Healthcare Fraud
Hospice Center Home Health Care, Inc. Faces Massive Liability Under False Claims Act
Earlier this month, the Department of Justice filed its complaint in a multi-million dollar Medicare fraud case perpetuated by now-defunct Home Care Hospice, Inc. – an organization also facing significant criminal penalties and fines for its role in siphoning large sums of money away from Medicare patients in need of […]
June 13, 2014
Contractor Fraud
Massachusetts Attorney General Alleges False Claims Against Contractor Universal Drywall
The Massachusetts Attorney General’s office recently commenced a lawsuit under the Commonwealth’s False Claims Act against general contractor Universal Drywall, LLC. The lawsuit alleges that the defendant engaged in unfair tactics in bidding on government jobs, resulting in fraudulent claims for reimbursement. The case represents a unique perspective on the […]
June 12, 2014
False Claims Act Legal News
AIG Alleged to Have Lied During Government Bailout Negotiations; False Claims Act Lawsuit Unsealed
American International Group, Inc., known as AIG, is facing a False Claims Act lawsuit alleging it failed to properly reveal certain licensing insufficiencies during 2008 bailout negotiations with the federal government. A whistleblower lawsuit, filed in 2009, was recently unsealed following the government’s decision not to intervene. The relator in […]
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