Posts Tagged ‘false claims act’

Shell Oil Company and its subsidiaries Shell Offshore Inc., Shell Frontier Oil & Gas Inc., and Shell Western Exploration and Production, have agreed to settle a qui tam lawsuit and pay the US government $2.2 million, plus interest.  In exchange, the US government will release Shell for its fraud claims for violation of the False Claims Act by underpaying the government royalties [...]

US Senator Charles Grassley (R-Iowa) wrote to the SEC chairwoman, Mary Schapiro, and asked her to forego the proposed whistleblower rule which would require whistleblowers to report the non-compliance issue to compliance officers BEFORE filing a claim with the SEC.   Sen. Grassley acknowledged the primary purpose of the SEC - ”to protect investors – not internal compliance programs.”  Read Sen. Grassley’s letter HERE.  The Dodd-Frank [...]

The US government recently issued a report with some troubling findings for nursing home patients.  The Department of Health and Human Services’ (HHS) report found that hundreds of thousands of nursing home residents were illegally drugged.   In fact, the HHS Inspector general, Daniel R. Levinson, makes the alarming statement that ”despite the fact that it is potentially lethal [...]

According to the Wall Street Journal, Quest Diagnostics has agreed to pay $241 million to settle a Medicaid fraud lawsuit.  The lawsuit alleged Quest over charged California’s Medicaid program for diagnostic testing.  The lawsuit was filed under the California False Claims Act. The lawsuit was filed by one of Quest’s competitors, Chris Riedel, CEO of Hunter Laboratories, whose company [...]

Whistleblowers Laura Rupert and Robin Herzog blew the whistle on CareSource Management Group in Ohio which billed for, but did not provide, required screening, assessment, and case management for special needs adults and children.  The case was settled for $26 million , but Ohio lost out on money from the Federal Government because the state [...]

Oracle has agreed to pay $46 million to settle a False Claims Act case what alleges Sun Microsystems, which merged with Oracle in 2010, paid kickbacks to consultants in return for recommendations from those companies that the federal government buy Sun products. This settlement is one of over $250 million worth of computer procurement fraud [...]

One Icelandic generic drug maker, Actavis, had the temerity to take an Average Wholesale Price fraud case to jury trial.  The result:  a $170 million judgment and likely exclusion from Texas Medicaid for Actavis, the privately-held generic drug maker that acquired Purepac and Alpharma pharmaceuticals. To date, the Texas Attorney General’s office has settled or won judgments for [...]

A $7 million settlement has been reached in a lawsuit filed against the University of Chicago Medical Center over claims of purposeful overcrowding in the Neonatal Intensive Care Unit. The lawsuit, filed by two former nurses, claimed that the hospital crowded babies into the ICU against state regulations, putting all the children at a high [...]

Defense contractor Northrop Grumman has agreed to settle a whistleblower lawsuit brought against them by a former quality assurance manager in 2006. The lawsuit claimed that the company failed to test electronic parts supplied to the government that were installed in military aircraft and spacecraft and were required to withstand extreme temperatures. The federal government will receive a [...]

The state of Utah has announced that it will join two lawsuits with 16 other states against drug manufacturing company Wyeth over the alleged concealment of discounted prices. The whistleblower suits claim that Wyeth hid lower prices of its stomach acid suppressing drugs Protonix Oral and Protonix IV from 2001 to 2006 to avoid paying millions of [...]