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Constantine Cannon Celebrates a Record-Shattering Year of Whistleblower Rewards

It has been a big year for our whistleblower clients

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Successes

The Constantine Cannon Whistleblower Team has been responsible for many major successes over the past two decades, with several of them achieving record recoveries for the government and the firm’s clients. In total, our representations have led to more than $1 billion in government and whistleblower recoveries. This is in addition to the more than $5 billion we have recovered for the firm’s other clients, including two of the top five antitrust settlements in U.S. history. Click the drop-down menu for a listing of our more notable successes, broken out by date, size, and subject matter.

KBR - Procurement Fraud/Defense ($108.75 million)

Constantine Cannon represented two whistleblowers in a False Claims Act case alleging defense contractor KBR Services overcharged the government in procuring supplies for U.S. troops stationed in Iraq and Afghanistan.  In July 2023, KBR agreed to pay $108.75 million to settle the matter, which amounted to the largest settlement involving Iraq War fraud ever.  Our clients received a whistleblower award of $31.5 million.  Read more -- Houston Chronicle, PR Newswire, CC.

Hyundai/Kia – Auto Safety ($210 million)

Constantine Cannon represented a whistleblower in a submission under the Motor Vehicle Safety Whistleblower Act, alleging critical engine defects in millions of Hyundai/Kia vehicles.  In November 2020, Hyundai/Kia agreed to pay combined penalties of up to $210 million, the largest such penalties ever assessed against a carmaker.  And in November 2021, our client received a whistleblower award of $24.3 million, the largest award ever made under the auto safety whistleblower program.  Read more -- Reuters, NPR, CNN, NHTSA, CC.

Sutter Health – Healthcare Fraud/Medicare Advantage ($90 million)

Constantine Cannon represented a whistleblower in a False Claims Act case alleging Sutter Health and its affiliates inflated the number and severity of Medicare Advantage patient diagnoses, manipulated patient records, ignored audit red flags, and engaged in other misconduct to increase patient risk scores and obtain Medicare Advantage payments to which they were not entitled.  In August 2021, Sutter agreed to pay $90 million to settle the matter, the largest Medicare Advantage False Claims Act settlement to date against a hospital system, and at the time, the second largest reported Medicare Advantage fraud settlement ever.  Our client received a whistleblower award of roughly $22 million.  Read more -- AP, Reuters, SF ChronicleDOJ, PR NewswireCC.

Cell Phone Carriers - Procurement Fraud ($138.7 million)

Constantine Cannon represented a whistleblower in a series of state False Claims Act cases alleging the four major wireless carriers -- AT&T, Verizon, Sprint, and T-Mobile -- overcharged the government by failing to provide services at the lowest cost available as required in their government contracts.  In September 2020, the carriers agreed to collectively pay $138.7 million to settle the matter, one of the largest state False Claims Act settlements ever.  Our client received a whistleblower award of roughly $55 million.  Read more -- LA Times, CBS, PR NewswireCC.

VNSNY - Healthcare Fraud/Home Health ($57 million)

Constantine Cannon represented a whistleblower in a False Claims Act case alleging Visiting Nurse Service of New York, the largest not-for-profit home health agency in the country, failed to provide its patients all the critical nursing and therapy visits and services their doctors prescribed under the patient Plans of Care.  In June 2020, VNSNY agreed to pay $57 million to settle the matter.  It is the first reported False Claims Act settlement involving allegations of a home health agency failing to follow patient Plans of Care.  It also is the largest non-kickback False Claims Act settlement ever against a home health company and the second largest settlement of any home health fraud case.  Our client received a whistleblower award of roughly $16.5 million.  Read more -- Politico, Modern Healthcare, CrainsCC.

Centric Parts - Customs Fraud ($8 million)

Constantine Cannon represented a whistleblower in a False Claims Act case alleging auto parts distributor Centric Parts misclassified brake pads imported from Asia to avoid millions of dollars of customs duties.  In July 2020, the company agreed to pay $8 million to settle the matter.  Our client (along with a second whistleblower) received a whistleblower award of 18.5% of the government's recovery.  Read more -- DOJCC.

Group Health Cooperative - Healthcare Fraud/Medicare Advantage ($6.375 million)

Constantine Cannon represented a whistleblower in a False Claims Act case alleging Group Health Cooperative (now a subsidiary of Kaiser Permanente) submitted false or inaccurate Medicare Advantage patient diagnosis codes to inflate the reimbursement it received under the Medicare Part C program.  In November 2020, the company agreed to pay $6.375 million to settle the matter.  Our client received a whistleblower award of 25% of the government's recovery.  Read more -- NPR, Seattle Times, DOJ, CC.

Korean Oil Companies - Procurement Fraud/Bid-Rigging ($363 million)

Constantine Cannon represented a whistleblower in a False Claims Act case alleging several Korean oil and transportation companies engaged in a bid-rigging scheme to artificially inflate the price the US military paid for fuel contracts for its bases in South Korea.  Ultimately, five different entities paid a total of $363 million: In November 2018, SK Energy, GS Caltex, and Hanjin Transportation agreed to pay $246 million to resolve both criminal and civil claims; and in March 2019, Hyundai Oilbank and S-Oil Corporation agreed to pay $127 million to resolve both criminal and civil claims.  The settlements represent the largest False Claims Act antitrust recovery ever.  Our client received a whistleblower award of roughly $37 million.  Read more -- WSJ, Reuters, Stars and Stripes, DOJ, CC.

Unitrans/Anham - Procurement Fraud/Defense ($45 million)

Constantine Cannon represented multiple whistleblowers in a False Claims Act case alleging Unitrans International and Anham FZCO violated the US sanctions regime against Iran in securing military contracts to provide food and transportation to US troops.  In December 2019, Unitrans agreed to pay $45 million to resolve criminal and civil charges relating to the matter.  Our clients received a whistleblower award of 28.5% of the government's civil recovery.  Read more -- Washington Post, DOJCC.
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