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Author Archives: Jonathan Tycko

Pharmaceutical Distributer PharMerica to Pay $9.25 Million to Settle False Claims Act Case Alleging Kickback Scheme

On October 7, 2015, the Department of Justice (DOJ) announced that, PharMerica, one of the nation’s largest pharmacies in the nursing home industry, has agreed to pay the U.S. government $9.25 million to resolve allegations that it participated in a kickback scheme involving pharmaceutical manufacturer Abbott Laboratories. The settlement resolves allegations that PharMerica received kickbacks […]

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Whistleblowers Can Help Fight Customs Fraud By Bringing Qui Tam Lawsuits Under The False Claims Act

The United States collects more than $30 billion in customs duties each year, making duties the second largest source of revenue for the federal government after income taxes.  But the agency charged with collecting customs duties, Customs and Border Patrol (“CBP”), estimates that between fiscal years 2007 and 2012, approximately $2.2 billion in customs duties […]

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Two Recent Decisions Hold That A Whistleblower Is Not Barred From Bringing A Qui Tam Lawsuit Based Upon Facts Already Known To The Government As A Result Of Audit Or Investigation That Is Not Known To The General Public

One of the procedural hurdles facing a whistleblower who brings a qui tam lawsuit under the False Claims Act (FCA) is the so-called “public disclosure bar.”  That bar arises from a section of the FCA stating that a qui tam case may be subject to dismissal if it is “based upon the public disclosure of […]

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Court Upholds Doctor’s Health Care Fraud Conviction For Performing Medically Unnecessary Procedures

A federal appellate court recently upheld the conviction of a Maryland cardiologist who was charged with health care fraud for performing coronary stent procedures-the insertion of small tubes, known as stents, in coronary arteries-when the procedures were not medically necessary. The opinion, United States v. McLean, 715 F.3d 129 (4th Cir. 2013), clarifies when a […]

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Qui Tam Case Against Tremco, Inc., Alleging Defects In BURmastic Roofing Systems, Settles For $60 Million

A recently-unsealed False Claims Act lawsuit, brought by a qui tam whistleblower, against Tremco, Inc., has reportedly settled for approximately $60 million.  This case is particularly interesting, because the whistleblower alleged in his complaint not only that Tremco (and its parent company RPM International, Inc.) violated various rules governing federal contracts, but also that at […]

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Drug Manufacturer Sanofi US Settles False Claims Act Allegations for $109 Million

In December 2012, the Department of Justice announced a $109 million settlement it reached with Sanofi US, an international drug manufacturer, resolving False Claims Act allegations that were brought against the company regarding its knee injection drug, Hyalgan. According to the complaint filed against Sanofi US, the manufacturer gave its sales representatives numerous free samples […]

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Healthpoint Ltd. Agrees to Settle Medicare and Medicaid False Claims Act Case for up to $48 Million

The Department of Justice announced a settlement it reached with Healthpoint Ltd. and DFB Pharmaceuticals for up to $48 million.  The settlement resolves allegations that Healthpoint submitted false claims to Medicare and Medicaid for Xenaderm, a prescription skin ointment for the treatment of bed sores in nursing home patients.  The companies will pay $28 million […]

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