Whistleblower News From The Inside -- April 17, 2017
By the C|C Whistleblower Lawyer Team
Acting Manhattan U.S. Attorney Settles Civil Lawsuit Against HSBC Bank USA, N.A., Regarding Failure To Disclose Fraud Or Potential Fraud In Guaranteed Loans — Joon H. Kim, the Acting United States Attorney for the Southern District of New York, and Eric S. Benderson, the Acting General Counsel of the U.S. Small Business Administration (“SBA”), announced today that the United States has settled a civil fraud lawsuit against HSBC BANK USA, N.A. (“HSBC”). The Government’s complaint, filed on April 10, 2017 (the “Complaint”), sought damages and civil penalties under the False Claims Act for misconduct in connection with HSBC’s participation in the SBAExpress loan program, which was designed to help start-ups and existing small businesses. DOJ
Chuck Grassley Demands FBI Update ‘Incorrect’ Whistleblower Protection Guidance — Senate Judiciary Committee Chairman Chuck Grassley is demanding that the FBI update its “incorrect” and outdated guidance on its whistleblower policies to abide by legislation that became law four months ago. In a letter sent to FBI Director James Comey on Friday, Grassley asks for an explanation as to why the agency hasn’t updated its employee training and internal communications to comply with the Federal Bureau of Investigation Whistleblower Protection Enhancement Act, which the senator and his panel’s ranking member Patrick Leahy introduced last Congress. Washington Examiner
Lahey Fights Back Against Bermuda Bribery Allegations — Lahey Hospital and Medical Center on Friday fired back against a civil lawsuit accusing it of running a racketeering conspiracy and paying bribes to gain business in Bermuda, saying the island’s government has offered no evidence of wrongdoing. In a federal lawsuit filed in February, the government of Bermuda alleged that Lahey and Dr. Ewart Brown, a physician and former premier of the island, ran a sweeping, two-decade long scheme involving money laundering, mail fraud, and corruption. Boston Globe