Posted on July 8th, 2010
A JPMorgan Chase employee has filed a lawsuit against the bank claiming he was discriminated against when he tried to blow the whistle on a hedge fund firm.
In a complaint filed in Connecticut state court this week, Kevin Dillion claims he tried to alert his supervisors to problems with the accounting and management practices of Highland Capital Management. According to the complaint, supervisors responded to Dillon’s complaints by giving him poor performance reviews and withholding bonuses.
The lawsuit also alleges that a JPMorgan supervisor regularly described his gun collection to Dillon and explained what he would do if anyone ever crossed him.
If you have seen abuses of the law in your company or believe that you have important information regarding fraud, it is time to speak up. Under the False Claims Act, you may have a part to play in a whistleblower qui tam lawsuit that can help regulators and tax-players to get their money back. Contact the TARP fraud lawyers of Tycko & Zavareei, LLP, at 202-973-0900 today.
Posted on July 2nd, 2010
The United States Supereme Court has rejected an appeal by Johnson & Johnson to stop a qui tam lawsuit brought by a Washington whistleblower.
Mark Eugene Duxbury filed a qui tam lawsuit against Johnson & Johnson’s Ortho Biotech Products unit in November 2003. The lawsuit alleges that kickbacks paid by the company drove up the cost of reimbursements under the federal Medicare program for the elderly and disabled. Johnson & Johnson appealed the lawsuit but the US Supreme Court rejected the appeal, allowing Duxbury to sue.
Ortho Biotech argued that Duxbury could not sue because similar allegations had come to light in a previous lawsuit. The court, however, found that Duxbury had met the requirements of the False Claims Act that he be an “original source” of the allegations. Duxbury provided the government with information before filing suit.
If you have information that could prove useful in a fraud suit against a corporation or contractor, you may be eligible to file for a whistleblower suit under the False Claims Act. Contact the Qui Tam lawyers of Tycko & Zavareei, LLP, by calling 202-973-0900 today.
Posted on July 2nd, 2010
The United States government sued Johnson & Johnson claiming that the company paid millions of dollars in kickbacks to the Omnicare pharmacy chain to buy and recommend medications.
According to the lawsuit filed January 15, 2010, Johnson & Johnson made payments to Omnicare, the nations largest senior care pharmacy, in exchange for buying and recommending Johnson & Johnson drugs, including its antipsychotic medication Risperdal. The payments allegedly persuaded Omnicare pharmacies to switch patients from other anti-psychotic medications to Risperdal.
Johnson & Johnson argues that it did not violate the False Claims act or Anti-Kickback statute. The company claims the United States government is trying to brand allowable rebates as illegal.
The Qui Tam attorneys of Tycko & Zavareei LLP are experienced in healthcare fraud investigations and litigation, and are here to help you with a free, confidential, initial consultation. Contact us at 202-973-0900 today.
Posted on June 25th, 2010
WellCare Health Plans Inc. has agreed to pay $137.5 million and interest to settle an inquiry by the Department of Justice arising from whistleblower allegations of overpayments and fraud.
The health care provider, based in Tampa, announced that it has reached a preliminary agreement with the civil divisions of the Department of Justice, the United States Attorney’s Office for the Middle District of Florida, and the United States Attorney’s Office for Connecticut. The settlement is payable over thirty-six months. The settlement also stipulates that, in the event of a change of control at the company, WellCare would be required to pay an additional $36 million and accelerate the full settlement.
Of the $137.5 million settlement, the Florida Agency for Health Care Administration will receive $23 million for overpayments it made to WellCare during a three-month period in 2005.
The Qui Tam attorneys of Tycko & Zavareei LLP are experienced in healthcare fraud investigations and litigation, and are here to help you with a free, confidential, initial consultation. Contact us at 202-973-0900 today.
Posted on June 25th, 2010
Nothrop Grumman Corporation, the Pentagon’s third largest supplier, has agreed to pay $12.5 million to the United States government to settle claims that it failed to properly test commercial parts it supplied for navigation in warplanes, submarines and space equipment.
The Justice Department, spurred by a Northrop quality assurance manager turned whistleblower, the government alleged Northrop’s Navigation Systems business unit failed to make sure the electronics would work at the temperature extremes required for military and space uses, according to a statement released Wednesday. The department said Northrop’s misconduct affected the U.S. Navy, Army, Air Force, Defense Logistics Agency, National Aeronautics and Space Administration, Coast Guard, and the Forest Service.
The settlement resolved claims made in a qui tam lawsuit filed in May 2006 against Northrop in the United States District Court for the Central District of California by Allen Davis. Davis was a quality assurance manager at Northrop’s Navigation Systems Division facility in Salt Lake City, Utah. He alleged that Northrop failed to comply with testing requirements laid out in a November 1998 protocol for the use of commercial parts in military systems. After an investigation, the United States alleged the failures to test continued from November 1998 until February 2007.
Davis sill receive $2,375,000 of the settlement under the whistleblower provisions of the False Claims Act.
For help with a Qui Tam claim against a government contractor, contact an experienced Qui Tam lawyer from Tycko & Zavareei, LLP today at 202-973-0900 for a free initial consultation.
Posted on June 18th, 2010
The Justice Department has joined a former Oracle employee in a whistleblower suit that alleges the company has defrauded the United States government for millions of dollars.
According to the General Services Administration, companies under the Multiple Awards Schedules must provide the federal government with their lowest private-sector price. However, the man who has filed the suit against Oracle, a major software firm, has claimed that the company has been giving discounts to their best clients and have not disclosed that information to the government.
The man filing the suit was originally employed by Oracle in 1997, and specifically worked as a contract specialist involved with GSA contracts. His lawsuit was filed in May 2007, going through the District Court of the East District of Virginia.
The Justice Department joined the suit earlier this year. The suit estimates that tens of millions of dollars were added to the price of Oracle’s services and software.
If you have witnessed fraud against the government, you may be able to file a qui tam lawsuit against that company. These lawsuits return millions of taxpayer dollars every year. Contact the GSA fraud lawyers of Tycko & Zavareei, LLP, by calling 202-973-0900 today.
Posted on June 16th, 2010
After a lawsuit that began six years ago, a woman was rewarded $176,000 for her part in a health care whistleblower suit.
The suit, filed against Cochlear Americas, was picked up by the United States government in 2007, making the woman eligible for monetary compensation under the qui tam laws of the False Claims Act. The total settlement reached $880,000. Federal agencies involved included the Commercial Litigation Branch of the Justice Department’s Civil Division, the Affirmative Civil Enforcement Unit of the US Attorney’s Office of the District of Colorado, and both the Office of Counsel to the Inspector General and Office of Investigations of the US Department of Health and Human Services.
Cochlear Americas was charged with violating both the False Claims Act and the Anti-Kickback Act by offering kickback money to doctors who would prescribe use of a Cochlear implant device for Medicare and Medicaid patients. The company was also under investigation for administrative civil monetary penalties by the federal government, which was one of the reasons the suit was stretched over so much time. The settlement in the case was announced June 9.
If you have information that could prove useful in a fraud suit against a corporation or contractor, you may be eligible to file for a whistleblower suit under the False Claims Act. Contact the Qui Tam lawyers of Tycko & Zavareei, LLP, by calling 202-973-0900 today.
Posted on June 11th, 2010
An indictment that came from the District of Hawaii’s U.S. District Court on June 8 has charged two Army officials and two contractors in connection with defense contract fraud.
The charges filed against the contractors, their company, and one of the Army officials tally up to one count of bribery, one count of money laundering, one respective count of conspiracy to commit both crimes. The other Army official was similarly charged with one count of conspiracy to commit bribery, one count of money laundering, one count of conspiracy to commit money laundering.
Allegedly, the contracting company had paid a $50,000 bribe to secure a Department of Defense contract to support trucking needs in Afghanistan. While the individuals face jail sentences and large fines, the company, AZ Corporation, could face a combined $1 million fine for its connection to the crimes.
The charges were filed by the National Procurement Fraud Task Force.
If you have information or a case against a defense contractor, you may be eligible for file a qui tam suit against that company. These lawsuits can make sure that U.S. taxpayer money is not being abused in illegal schemes and that military forces are not endangered by fraudulent business actions. Contact the defense contract fraud lawyers of Tycko & Zavareei, LLP, at 202-973-0900 today to learn more about the law in this area.
Posted on June 9th, 2010
Investigators are searching through evidence to determine whether there is solid case against a 59-year-old bank executive.
Leading the largest bank to fall to economic woes in twenty years, the man may have been trying to save his bank by investing his own money into the bank. According to federal investigators, this comes only shortly after allegations of TARP fraud. He tried to file for $11 million of the Troubled Asset Relief Program money provided by the government for institutions considered too big or important to fail.
The federal agents allege that the executive would send money through affiliated companies, eventually running through an unidentified partner in the process. The money would come back to the executive, who, in turn, could put the money in the bank. These funds were then used to trick federal TARP regulators in the application process, making the bank seem more successful than it actually was.
The current investigation is being run by the Oklahoma Insurance Department. It illustrates a similar process with another affiliate company.
If you have seen abuses of the law in your company or believe that you have important information regarding fraud, it is time to speak up. Under the False Claims Act, you may have a part to play in a whistleblower qui tam lawsuit that can help regulators and tax-players to get their money back. Contact the TARP fraud lawyers of Tycko & Zavareei, LLP, at 202-973-0900 today.
Posted on June 4th, 2010
Across seven states, nine hospitals have been found responsible and guilty in a Medicare fraud suit. The payment, in total, that was settled upon was a $9.4 million claim. A whistleblower suit was responsible for originally bringing the hospitals to court.
According to the 2008 lawsuit, hospitals were found keeping patients with kyphoplasty an additional night, charging Medicare for the expenses. However, kyphoplasty is considered an outpatient procedure, meaning that patients staying overnight were in the hospital under unnecessary terms.
Of the nine hospitals in the suit, seven were implicated in another 2008 suit involving kyphoplasties. In this case, the company Medtronic Spine was found guilty of defrauding the government of about $20 million in connection with the hospitals. Medtronic Spine itself was forced to settle for $75 million in another Medicare fraud case at a previous date.
The Justice Department was pleased to see the funds return to the government, as they can go back into legitimately operating hospitals and health care facilities.
If you or someone you know is in a position to act as a whistleblower against fraud, there may be a legal course of action that could recover funds for the government. Contact the Qui Tam lawyers of Tycko & Zavareei, LLP, at 202-973-0900 today to discuss your suit.
