Whistleblower suit against Boeing has been settled

Posted on January 31st, 2012 No Comments

Boeing Co. has finally settled a whistleblower lawsuit, in the amount of $4.4 million.

The whistleblower, a former employee, alleged that the company was boosting bills that they were submitting to the U.S. government on their Chinook Helicopter program. They were citing that their employees were working on special modifications to the helicopters, when in reality they were only performing basic work on the models.

The government investigated these claims and determined that Boeing was deceiving the U.S. government dating back to 2005. The settlement was reached in December and the documents were unsealed on January 17, 2012. The whistleblower in the case stands to make $813,000 for his part in the discovery.

If you have information regarding fraud and would like to file a Qui Tam lawsuit, please contact the Qui Tam lawyers of Tycko & Zavareei LLP by calling 202-973-0900 today.

Six-year Qui Tam lawsuit has come to a close

Posted on December 21st, 2011 No Comments

A qui tam lawsuit which was filed six years ago against IASIS Healthcare has finally come to a close.

In 2005, a former employee of IASIS Healthcare filed a qui tam lawsuit against the company. His claim was dismissed due to an actual claim not being present in the lawsuit against the healthcare company. He appealed the ruling and was given another chance to prove wrongdoing in the company, yet failed again.

The former employee agreed to withdraw his petition on November 30,2011 for a second appeal in the case, thus ending a six-year qui tam lawsuit. IASIS Healthcare was awarded all the sanctions they asked for in the case, excluding monetary sanctions due to the man’s inability to pay.

If you need assistance in regards to a qui tam lawsuit, please contact the Qui Tam lawyers of Tycko & Zavareei LLP by calling 202-973-0900 today.

 

Qui Tam lawsuit results in $20 million settlement

Posted on December 7th, 2011 No Comments

Genentech, the manufacturer behind the drug, Rituxan, has agreed to pay $20 million to settle a whistleblower lawsuit brought against the company.

According to documents, Genentech aggressively promoted Rituxan for off-label uses and taught their sales representatives how not to get caught by the FDA. This lawsuit is filed under Medicare fraud.

As part of the settlement, Genentech will not claim guilt in the case. The person who turned the company in, the whistleblower, will receive $5.7 million of the $20 million being paid to the government.

If you need assistance in regards to a Qui Tam lawsuit, please contact the Qui Tam lawyers of Tycko & Zavareei LLP by calling 202-973-0900 today.

10-year sentence given to man in mortgage fraud case

Posted on October 31st, 2011 No Comments

A Minnesota man has been convicted of mortgage fraud and was sentenced to 10 years in jail. The mortgage fraud that he was behind caused multiple lenders to lose a total of $7.6 million.

According to court reports, this is one of the largest fraud cases that the state of Minnesota has ever dealt with. The man helped arrange fraudulent loans and planned illegal dealings involving real estate. He would sell units at inflated prices and then personally benefit from the excess money.

The trial lasted three weeks and a jury was present. The defendant was convicted of mortgage fraud, bank fraud, 10 counts of wire fraud as well as one count of money laundering.

If you have information regarding mortgage fraud, please contact the Qui Tam lawyers of Tycko & Zavareei, LLP by calling 202-973-0900 today.

Qui Tam lawsuit settled for $7.5 million

Posted on October 19th, 2011 No Comments

In Columbus, Ohio a qui tam lawsuit was filed against Select Medical Holdings. Select was responsible for paying the United States government $7.5 million.

The lawsuit is related to a 2009 subpoena that Select was given in connection with Columbus physicians. The company’s pre-tax charge was $7.5 million which was documented in the second quarter of 2011 to indicate reserve funds.

The company is headquartered in Mechanicsburg, Pennsylvania and it’s main function is to supply healthcare including physical and medical rehabilitation.

Select has also agreed to sign a 5-year “corporate integrity” agreement and pay some additional legal fees.

If you need assistance with a qui tam lawsuit, please contact the whistleblower lawyers of Tycko & Zavareei, LLP by calling 202-973-0900 today.

Escrow accountant charged with mail fraud

Posted on October 14th, 2011 No Comments

A woman with a scheme to deceive a title insurance company and lenders of $1.7 million was found guilty of mail fraud.

The escrow accountant worked for companies that were located in Washington, D.C., Annapolis and Baltimore. She used her job position to adjust escrow account statements before they were audited. These alterations made the reports appear to be balanced when in reality they were off by $3 million.

Due to her misleading tactics, the company she was employed by lost $1.7 million. Two other people are expected to go on trial in November for their parts in this mail fraud scheme.

The woman in question can face up to 20 years in jail and a fine of $250,000 when she is sentenced in January.

If you have information regarding mail fraud please contact a Qui Tam Attorney of Tycko & Zavareei, LLP, by calling 202-973-0900.

Par Pharmaceuticals accused in whistleblower case

Posted on September 8th, 2011 No Comments

Par Pharmaceuticals is a leading generic drug distributor who has been accused of participating in a drug switching scheme with two other foreign companies.

According to the Chicago law firm who filed the complaint, Par defrauded government healthcare systems by conspiring with pharmacies to switch Prozac and Zantac prescriptions with Par’s products. Switching to Par’s products would cause much higher Medicaid prices to be charged. 

Walgreens was sued in a similar scheme back in 2008, when the company allegedly switched ranitidine and fluoxetine drugs. Walgreens was required to pay $35 million to the United States and 42 states in the settlement. The current whistleblower lawsuit has resulted in federal and state governments recovering more than $120 million for Medicaid fraud.

If you have information on Medicaid fraud and are interested in filing a Qui Tam lawsuit, please contact the Medicaid fraud lawyers of Tycko & Zavareei, LLP, by calling 202-973-0900 today.

Circumstances for filing a Qui Tam lawsuit have been expanded

Posted on August 26th, 2011 No Comments

The Third Circuit of the U.S. Court of Appeals has recently clarified the circumstances under which whistleblowers can file a qui tam lawsuit.

Whistleblowers are able to receive some of the damages recovered as a result of fraud against the government due to the False Claims Act. Now, a distinction between “implied” and “express” false certification theories is helping to clarify instances if which whistleblowers can file a suit under the Act.

Express false certifications involve a company falsely claiming that it complies with a regulation leading to government payout. An implied false certification, on the other hand, is based on the theory that a company shows compliance with agency regulations by simply seeking pay back for services provided to a government entity.

If you need assistance with a Qui Tam lawsuit, please contact the whistleblower lawyers of Tycko & Zavareei, LLP by calling 202-973-0900.

Indiana Joins EDMC Qui Tam Lawsuit

Posted on August 9th, 2011 No Comments

The state of Indiana has joined a qui tam lawsuit against Education Management Corporation.

According to court documents, Indiana Attorney General Greg Zoeller has joined three other states and the federal government in the qui tam lawsuit filed against Education Management Corporation. The lawsuit claims the for-profit college company and two of its subsidiaries received more than $12 million in state financial aid after making false claims and misrepresentations to the state. The states and the federal government allege the EDMC defendants violated a federal law that bans incentive compensation for college admissions employees based on the numbers of students they enroll.

The lawsuit alleges that EDMC and two of its subsidiaries operating in Indiana violated Title IV of the Higher Education Act of 1965 by using a system where college recruiters’ compensation was tied to enrollment numbers.

Indiana’s complaint alleges a total of 16,814 student financial aid awards were claimed by the EDMC schools that falsely represented their compliance and eligibility to the state. The whistleblower lawsuit alleges EDMC defrauded the State of Indiana by claiming more than $12 million in student financial aid for which it was not eligible since 2003.

If you have information regarding federal student loan fraud, please contact the Whistleblower Lawyers of Tycko & Zavareei, LLP, by calling 202-973-0900.

DOJ Considers Joining Home Depot Qui Tam Lawsuit

Posted on June 28th, 2011 No Comments

The Department of Justice is looking into a qui tam lawsuit filed against Home Depot Inc. to see if the suit’s allegations merit the government joining the suit in a leading role.

Accoridng to court documents, the lawsuit alleges purchases made under a government contract violate the Buy American Act of 1933, a law designed to favor American-made products for government purchases. The lawsuit was filed last year against a number of companies, but Home Depot remains a defendant as it has not reached a settlement with the plaintiffs.

The lawsuit was filed by two former employees of Actus Lend Lease, a global developer of communities that has done contract work to build housing for the U.S. armed forces, against Actus and other companies, including Home Depot. Actus settled the matter for $1 million last year.

Home Depot issued a statement this week saying the company “would never knowingly sell prohibited goods under any circumstances, and we have been cooperating with the government to provide the requested information. We believe the plaintiffs have an inaccurate view of the facts.”

Under whistle blower, or qui tam, lawsuits, plaintiffs are entitled to a portion of any money recovered by the government if it endorses the legal action. If you have information of government contract fraud, please contact the Qui Tam Lawyers of Tycko & Zavareei LLP by calling 202-973-0900.

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