$750,000 Settlement Reached in Grant Fraud Lawsuit Against Texas A&M University Research Foundation
September 17, 2018. PHILADELPHIA – Berger Montague is pleased to announce that the Texas A&M University Research Foundation has agreed to pay $750,000 to resolve grant fraud claims under the False Claims Act (“FCA”). These claims were filed more than five years ago by two Research Foundation employees who worked in the compliance area.
Relators alleged fraud in connection with grant requirements or regulations, including time and effort reporting, a Texas state issue called “longevity” pay, cost sharing, NSF salary caps and transfers of residual funds. The claims pertained to grants issued from various federal agencies, including the Department of Energy, Department of Education, Department of Transportation, National Institute of Health, National Science Foundation and NASA. No claims under the FCA were brought against Texas A&M itself because it is a State agency and thus not subject to suit under the FCA.
For their role in reporting this fraud and providing invaluable assistance to the federal government in prosecuting these claims, the relators will share an award of $142,500.
Berger Montague represented the relators together with attorneys from the Law Offices of Patrick J. O’Connell LPPC in Austin, Texas.
For more than 15 years, Berger Montague’s Whistleblower, Qui Tam & False Claims Act Practice Group has represented whistleblowers in matters involving healthcare fraud, defense contracting fraud, IRS fraud, securities fraud and commodities fraud, helping to return more than $3 billion to federal and state governments. In return, whistleblower clients retaining Berger Montague to represent them in state and federal courts have received more than $500 million in rewards.