False Claims Act and Whistleblower News

The False Claims Act enables a private citizen with unique knowledge of fraud committed against the federal government (such as health care fraud, contract fraud, and tax fraud) to file a lawsuit under seal (not accessible to the public) seeking treble (triple the amount) damages on behalf of the government...
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recent posts - false claims act (FCA)

December 20, 2016
Bechtel National Inc., Bechtel Corp., URS Corp. (predecessor in interest to AECOM Global II LLC) and URS Energy and Construction Inc. (now known as AECOM Energy and Construction Inc.) have agreed to pay $125 million to resolve allegations under the False Claims Act that they made false statements and claims to the Department of Energy (DOE) by charging DOE for deficient nuclear quality materials, services, and testing that was provided at the Waste Treatment Plant (WTP) at DOE’s Hanford... full text
December 13, 2016
Pennsylvania-based medical device manufacturer Biocompatibles Inc., a subsidiary of BTG plc, pleaded guilty today to misbranding its embolic device LC Bead and will pay more than $36 million to resolve criminal and civil liability arising out of its illegal conduct, the Justice Department announced last month. LC Bead is used to treat liver cancer, among other diseases. Under the terms of the plea agreement before the U.S. District Court for the District of Columbia, Biocompatibles pleaded... full text
November 29, 2016
Kansas-based Best Choice Home Health Care Agency Inc. (Best Choice) and its owner, Reginald King, have agreed to pay $1.8 million to resolve allegations that Best Choice and King violated the False Claims Act by paying kickbacks for the referral of Medicaid-covered patients for home and community-based healthcare services from Best Choice, the U.S. Department of Justice announced last month.   This settlement resolves allegations that Best Choice submitted claims for home and community-... full text
November 22, 2016
Tennessee-based Life Care Centers of America Inc. (Life Care) and its owner, Forrest L. Preston, have agreed to pay $145 million to resolve allegations that Life Care violated the False Claims Act by knowingly causing skilled nursing facilities (SNFs) to submit false claims to Medicare and TRICARE for rehabilitation therapy services that were not reasonable, necessary or skilled, the Department of Justice announced last month. This settlement resolves allegations that Life Care submitted false... full text
October 26, 2016
Omnicare Inc. has agreed to pay $28.125 million to resolve allegations that it solicited and received kickbacks from pharmaceutical manufacturer Abbott Laboratories in exchange for promoting the prescription drug, Depakote, for nursing home patients, the U.S. Department of Justice announced earlier this month. Nursing homes rely on consultant pharmacists, such as those employed by Omnicare, to review their residents’ medical charts at least monthly and make recommendations to their... full text
September 30, 2016
Vibra Healthcare LLC (Vibra), a national hospital chain headquartered in Mechanicsburg, Pennsylvania, has agreed to pay $32.7 million, plus interest, to resolve claims that Vibra knowingly submitted or caused the submission of false claims by billing Medicare for medically unnecessary services, the Department of Justice announced earlier his week.  Vibra operates approximately 36 freestanding long term care hospitals (LTCHs) and inpatient rehabilitation facilities (IRFs) in 18 states.... full text
August 15, 2016
 Atrium Medical Corp. has agreed to pay $11.5 million to settle allegations that the company knowingly submitted or caused the submission of false claims to federal health care program Medicare and also violated the federal Anti-Kickback Statute, Standly Hamilton LLP announced last month. Atrium allegedly engaged in an extensive nationwide scheme to promote its iCast brand stent for use in the vascular system even though it was federally approved only for treating tracheobronchial... full text
August 3, 2016
Jacintoport International LLC (Jacintoport) and Seaboard Marine Ltd. (Seaboard Marine) have agreed to pay $1.075 million to settle a lawsuit alleging that the companies knowingly submitted or caused the submission of false claims in connection with a warehousing and logistics contract for the storage and redelivery of humanitarian food aid, the U.S. Department of Justice announced earlier this week.  Jacintoport is a cargo handling and stevedoring firm headquartered in Houston, Texas, and... full text
August 2, 2016
The government has filed suit under the False Claims Act against Derish M. Wolff and Salvatore J. Pepe, respectively the former CEO and CFO of Louis Berger Group Inc. (LBG), for conspiring to overbill the U.S. Agency for International Development (USAID) and other government agencies for costs incurred performing reconstruction contracts in Afghanistan, Iraq, and other countries, the U.S. Department of Justice announced last month. The government’s complaint alleges that Wolff and Pepe... full text
July 28, 2016
The Lexington County Health Services District Inc. d/b/a Lexington Medical Center located in West Columbia, South Carolina, has agreed to pay $17 million to resolve allegations that it violated the Physician Self-Referral Law (the Stark Law) and the False Claims Act by maintaining improper financial arrangements with 28 physicians, the U.S. Department of Justice announced today.  The Stark Law is intended to ensure that physician referrals are made based on the medical needs of the... full text