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)

February 2, 2016
Centerra Services International Inc. (fka Wackenhut Services LLC) has agreed to pay $7.4 million to settle allegations that Wackenhut knowingly submitted or caused the submission of false claims by double billing and inflating labor costs in connection with a contract for firefighting and fire protection services in Iraq, the U.S. Department of Justice announced yesterday.  Centerra is a security services company headquartered in Palm Beach Gardens, Florida. Wackenhut provided U.S.... full text
January 29, 2016
RehabCare Group, RehabCare Group East, and their parent Kindred Healthcare Inc. have agreed to pay $125 million to resolve allegations that the companies knowingly submitted or caused the submission of false claims to Medicare for for rehabilitation therapy services that were not reasonable, necessary and skilled, or that never occurred, the U.S. Department of Justice announced earlier this month. RehabCare Group Inc. and RehabCare Group East Inc. were purchased by the Louisville, Kentucky-... full text
January 27, 2016
Coloplast Corp. and Liberator Medical Supply have agreed to pay $3.16 million and $500,000, respectively, to settle allegations that the companies knowingly submitted or caused the submission of false claims to federal health care programs, the U.S. Department of Justice announced last month. The settlement with Coloplast resolves allegations that it paid kickbacks to Byram Healthcare Centers, Inc.; CCS Medical, Inc.; Liberator; Liberty Medical, Inc. and Handi Medical, Inc., in return for... full text
January 25, 2016
Dr. David G. Bostwick, former founder, owner, and chief executive officer of Bostwick Laboratories, has agreed to pay up to $3.75 million to the United States federal government for to resolve alleged violations of the False Claims Act, the U.S. Department of Justice announced earlier this month. The settlement announced today resolves claims that Dr. Bostwick allegedly directed Bostwick Laboratories to bill Medicare and Medicaid for expensive cancer detection tests known as Fluorescent In Situ... full text
January 8, 2016
Wisconsin-based Novum Structures LLC has agreed to plead guilty and pay $3 million to resolve criminal and civil liability arising from improper use of foreign materials on construction projects involving federal funds, the U.S. Department of Justice announced last week. Novum specializes in the design and construction of glass space frames often used in roofs and atrium enclosures.   The agreement resolves a criminal Information alleging that Novum repackaged materials and falsified... full text
January 5, 2016
University Furnishings LP and its general partner, Freedom Furniture Group Inc. (collectively, “University Furnishings”) have agreed to pay $15 million to resolve allegations that the companies knowingly submitted or caused the submission of false claims by making false statements to avoid paying duties on wooden bedroom furniture imported from China, the U.S. Department of Justice announced last month.  University Furnishings sells furniture for student housing. The government... full text
December 28, 2015
21st Century Oncology LLC has agreed to pay $19.75 million to the federal government to resolve allegations that it knowingly submitted or caused the submission of false claims to federal health care programs, the U.S. Department of Justice announced earlier this month.  21st Century is a nationwide provider of integrated cancer care services that is headquartered in Fort Myers, Florida.  The settlement announced today resolves allegations that 21st Century submitted claims... full text
December 23, 2015
Thirty-two hospitals located throughout 15 states have agreed to pay the United States a total of more than $28 million to settle allegations that the health care facilities submitted false claims to Medicare for minimally-invasive kyphoplasty procedures, the U.S. Department of Justice announced last week.   Kyphoplasty is a minimally-invasive procedure used to treat certain spinal fractures that often are due to osteoporosis.  In many cases, the procedure can be performed safely... full text
December 21, 2015
Dynasplint Systems Inc. and its founder/president George Hepburn have agreed to pay $10.3 million to resolve allegations that they knowingly submitted or caused the submission of false claims to federal health care program Medicare for splints provided to patients in skilled nursing facilities, the U.S. Department of Justice announced last week. The government alleged that Hepburn and Dynasplint knowingly mischarged Medicare for splints used by patients in Medicare-certified skilled nursing... full text
December 9, 2015
The federal government recovered more than $3.5 billion taxpayer dollars in fraud and false claims cases in the 2015 fiscal year, the U.S. Department of Justice announced last week.  This is the fourth year in a row that the department has exceeded $3.5 billion in cases under the False Claims Act and brings total recoveries from January 2009 to the end of the fiscal year to $26.4 billion. Of the $3.5 billion recovered last year, $1.9 billion came from companies and individuals in the... full text