Whistleblower Successes

Successes
September 2016

September 21, 2016 — Heather Henson, a former receptionist at the medical practice of Michigan doctor Hussein Awada, will receive a whistleblower award of $36,000 from the $200,000 Awada agreed to pay to resolve charges he violated the False Claims Act by writing prescriptions for oxycodone and other controlled medications and billing for medical services without medical justification.  Awada previously pled guilty to these charges and was sentenced to 84 months in prison and pay $2.3 million in restitution.  DOJ (EDMI)

September 9, 2016 — Ricardo Gonzales, former employee of Los Angeles-based nursing home Westlake Convalescent Hospital, will receive a whistleblower award of $534,471 from the roughly $3.6 million Westlake and two of its physicians agreed to pay to resolve charges they violated the False Claims Act by participating in a scheme to improperly transfer patients recruited from the “Skid Row” district to a hospital for medically unnecessary services, and then transfer the patients from the hospital to the nursing home for medically unnecessary stays.  DOJ (CDCA)

August 2016

August 31, 2016 — Lori Moore, former employee of Clear Vue Eye Center will receive a whistleblower award of $200,000 from the $1 million to be paid by Clear Vue and its owner, Dr. Monique Barbour, to resolve allegations that they violated the False Claims Act by overbilling Medicare for patient visits at nursing homes and assisted living facilities, and for billing for procedures purportedly performed while Dr. Barbour was out of the country.  DOJ (SDFL)

August 24, 2016 — A whistleblower will receive a yet-to-be-determined award from the $2,950,000 New York hospitals Beth Israel Medical Center (d/b/a Mount Sinai Beth Israel), St. Luke’s-Roosevelt Hospital Center (d/b/a Mount Sinai St. Luke’s) and Mount Sinai Roosevelt, and Continuum Health Partners, agreed to pay to settle charges that they violated the federal and New York False Claims Act by willfully delaying repayment of over $800,000 in Medicaid overpayments that resulted from improper claims submitted because of a software error.  DOJ (SDNY)

August 24, 2016 — Six former employees of defunct for-profit cosmetology school B&H Education, Inc., which operated the Marinello Schools of Beauty in locations across Southern California, will receive a whistleblower award of $2.5 million from the $8.6 million B&H’s insurance carrier agreed to pay to resolve allegations that B&H violated the False Claims Act by obtaining federal student loan funds for ineligible students who received bogus high school diplomas.  DOJ (CDCA)

August 17, 2016 — Margaret Reynard will receive a whistleblower award of roughly $124,000 from the $690,000 several doctors, Westfield Hospital and related pain clinic Lehigh Valley Pain Management agreed to pay to resolve allegations they violated the False Claims Act by submitting false health care billings for services performed by non-physicians as “incident to” the services of supervising physicians when, in fact, supervising physicians were away from the office or otherwise incapable of supervising.  DOJ (EDPA)

August 17, 2016 — A former medical assistant who worked for Dr. David Spellberg of Naples Urology Associates, a division of 21st Century Oncology, will receive a whistleblower award of $37,500 from the $250,000 Florida urologist Robert A. Scappa agreed to pay to resolve allegations that he violated the False Claims Act by causing claims to be submitted to federal health care programs for laboratory tests that were not medically necessary.  Scappa was a urologist with 21st Century Oncology division Scappa Urology.  The whistleblower previously received a whistleblower award of  $3.2 from the $19.75 million settlement previously reached with 21st Century Oncology.  DOJ (MDFL)

August 5, 2016 — Adam Nauss will receive a yet-to-be-determined whistleblower award from the $1 million a series of anesthesia businesses collectively known as Sweet Dreams Nurse Anesthesia agreed to pay to settle charges they violated the False Claims Act, Anti-Kickback Statute and Georgia False Medicaid Claims Act by paying unlawful kickbacks to health care providers for referrals.  DOJ (MDGA)

August 3, 2016 — The U.S. Tax Court made a whistleblower award of $17.8 million to a pair of whistleblowers which for the first time includes a portion of criminal fines and civil forfeitures in addition to part of the taxes the government recouped because of information they provided.  The parties involved in the case weren’t disclosed but it appears to stem from the prosecution of Wegelin & Co, the Swiss bank that closed after it pleaded guilty in 2013 to conspiring with U.S. taxpayers to hide money from the IRS.  WSJ

August 1, 2016 — John Raggio, a shipping contractor, will receive a whistleblower award of $215,000 from the proceeds of the $1.075 million Houston-based cargo handling company Jacintoport International LLC and its Miami-based ocean transport affiliate Seaboard Marine Ltd. agreed to pay to settle charges they violated the False Claims Act in connection with a warehousing and logistics contract for the storage and redelivery of humanitarian food aid.  DOJ

August 1, 2016 — Registered nurse Catherine Lembo will receive a whistleblower award of $560,000 from the $3.2 million St. Joseph’s Hospital Health Center agreed to pay to resolve allegations it violated the federal False Claims Act and New York False Claims Act by billing the state Medicaid program for mental health services provided by unqualified staff.  Whistleblower Insider

July 2016

July 29, 2016 — A whistleblower will receive a yet-to-be-determined whistleblower award from the $4,752,101.50 judgment entered against LXE Counseling, LLC and its owner Lexie Darlene George (a/k/a Lexie Darlene Batchelor) for violations of the False Claims Act, the Oklahoma Medicaid False Claims Act and the Oklahoma Medicaid Program Integrity Act.  Specifically, LXE and Batchelor were found to have submitted claims to Oklahoma Medicaid for services that were, among other things: provided by unqualified persons; based on falsified time and service records; double billed; unauthorized and not provided.  DOJ (WDOK)

July 28, 2016 — Former Lexington Medical Center physician Dr. David Hammett will receive a whistleblower award of roughly $4.5 million from the $17 million the South Carolina hospital agreed to pay to resolve allegations it violated the False Claims Act and the Physician Self-Referral Law (known as the Stark Law) by maintaining improper financial arrangements with 28 physicians.  Whistleblower Insider

July 27, 2016 — Diane Vitale will receive a yet-to-be-determined whistleblower award from the roughly $300,000 Deremedx Dermatology, P.C. (d/b/a Dermatique) and its owner Dr. Barry A. Solomon agreed to pay resolve charges they violated the False Claims Act by repeatedly billing Medicare and Medicaid for services performed as if Solomon were supervising the procedures even though he was not in the office during the procedures and was in some cases out of the country.  DOJ (EDNY)

July 27, 2016 — Multiple whistleblowers will receive a yet-to-be-determined whistleblower award from the roughly $2.5 million to be paid by the University of Pittsburgh Medical Center, together with the University of Pittsburgh Physicians, UPMC Community Medicine, Inc., and Tri-State Neurosurgical Associates-UPMC, Inc., to settle charges they violated the False Claims Act by submitting false claims to Medicare.  Specifically, the government alleged that certain neurosurgeons employed by UPMC submitted claims for assisting with or supervising surgical procedures performed by other surgeons, residents, fellows, or physician assistants, when those neurosurgeons did not participate in the relevant surgeries to the degree required.  DOJ (WDPA)

July 27, 2016 — Jodi Cohen, a former patient of Connecticut psychiatrist Dr. Anton Fry, and Medical Bill Consultants, LLC, a billing company, will receive a whistleblower award of $6,239 from the proceeds of the $36,704 agreed to be paid by Dr. Fry and his company CPC Associates to resolve allegations they violated the False Claims Act by submitting improper claims to Medicare for psychiatric services that were provided over the phone instead of by meeting with the beneficiaries in the office and treating them in person.  DOJ (DCT)

July 26, 2016 — Famed Bernie Madoff whistleblower Harry Markopolos made a filing under the whistleblower provisions of the Financial Institutions Reform, Recovery and Enforcement Act (FIRREA) which led to the agreement by Massachusetts-based State Street Bank and Trust Company to pay a total of at least $382.4 million — including $155 million to the DOJ, $167.4 million in disgorgement and penalties to the SEC, and at least $60 million to ERISA plan clients in an agreement with the Department of Labor — to settle allegations that it deceived some of its custody clients when providing them with indirect foreign currency exchange (FX) services.  DOJ

July 22, 2016 — Melayna Lokosky will receive a whistleblower award of roughly $3.5 million from the $18 million California-based medical device manufacturer Johnson & Johnson subsidiary Acclarent Inc. agreed to pay to resolve allegations it violated the False Claims Act by causing health care providers to submit false claims to Medicare and other federal health care programs by marketing and distributing its sinus spacer for use as a drug delivery device without FDA approval of that use.  DOJ

July 22, 2016 — Tracy Sifuentes, a former employee of diagnostic imaging company Preferred Imaging LLC will receive a whistleblower award of $596,700 from the $3,510,000 Preferred Imaging agreed to pay to resolve allegations it violated the False Claims Act by improperly billing Medicare and Texas Medicaid for services performed without proper medical supervision.  DOJ (NDTX)

July 14, 2016 — A whistleblower will receive a yet-to-be-determine whistleblower award from the $9.5 million Columbia University agreed to pay to resolve charges it violated the False Claims Act for improperly seeking and receiving excessive cost recoveries in connection with research grants funded by the National Institutes of Health.  DOJ (SDNY)

July 13, 2016 — A number of former employees of Minnesota-based Evercare Hospice and Palliative Care Evercare will receive a yet-to-be-determined whistleblower award from the $18 million Evercare agreed to pay to resolve charges it violated the False Claims Act by claiming Medicare reimbursement for hospice care for patients not eligible for such care because they were not terminally ill.  Whistleblower Insider

July 12, 2016 — A former employee of New Jersey diagnostic imaging company Biosound Medical Services, Inc. will receive a yet-to-be-determined whistleblower award from the $7.75 million the company agreed to pay along with the company’s owners, Nita and Kirtish Patel, and their other company Heart Solution PC, to resolve charges they violated the False Claims Act by submitting false claims to Medicare for thousands of falsified diagnostic test reports and the underlying tests.  DOJ (DNJ)

July 13, 2016 — A whistleblower will receive a yet-to-be-determined whistleblower award from the $13.375 million clothing importer Motives, Inc. and its affiliated foreign clothing manufacturers Motives Far East and Motives China Ltd. agreed to pay to settle charges of violating the False Claims Act by engaging in a double invoicing scheme to defraud the United States out of millions of dollars in customs duties.  DOJ (SDNY)

July 6, 2016 — Virginia-based information technology company Minburn Technology Group and its managing member Anthony Colangelo will receive a whistleblower award of approximately $1.4 million from the $5.8 million that En Pointe Gov. Inc. (now known as Modern Gov IT Inc.), En Pointe Technologies Inc. (now known as Dinco Inc.), En Pointe Technologies Sales Inc. (now known as Collab9 Inc.), Dominguez East Holdings LLC and Din Global Corp. agreed to pay to resolve allegations that they violated the False Claims Act by falsely certifying that En Pointe Gov. was a small business so it could obtain contracts set aside for small businesses and by underreporting sales under a General Services Administration (GSA) contract to avoid the payment of fees.  DOJ

July 5, 2016 — Two former employees of Drayer Physical Therapy Institute, LLC  will receive a whistleblower award of roughly $1.7 million from the $7 million it agreed to pay to settle charges of violating the False Claims Act by providing services to multiple patients simultaneously as though the services were being provided by a physical therapist or physical therapist assistant to one patient at a time.  DOJ (DSC)

July 5, 2016 — Brian Sachs will receive a whistleblower award of $11,000 from the $55,000 Massachusetts ophthalmologist Martin E. Cutler agreed to pay to resolve allegations that he and his company violated the False Claims Act by falsely billing Medicare for ophthalmic diagnostic imaging when there was no underlying diagnosis to justify the imaging.  DOJ (DMA)

June 2016

June 30, 2016 — Oncology nurse Colleen Herren will receive a whistleblower award of roughly $1,430,000 from the $5.5 million California-based Marshall Medical Center agreed to pay (along with Marshall Foundation for Community Health and El Dorado Hematology & Medical Oncology) to settle charges they violated the federal False Claims Act and California False Claims Act through a variety of Medicare and Medicaid billing improprieties.  DOJ (EDCA)

June 30, 2016 — Dr. Robert A. Green and Ms. Holly A. Taylor will receive a whistleblower award of roughly $1.3 million from the $2 million Florida cardiologist Dr. Asad Qamar and his practice, the Institute of Cardiovascular Excellence (ICE), agreed to pay (plus their release of any claim to $5.3 million in suspended Medicare funds), to settle charges they violated the False Claims Act by billing for medically unnecessary procedures and paying kickbacks to patients by waiving Medicare copayments irrespective of financial hardship.  DOJ

June 30, 2016 — John Carr, a former contracting officer of Galaxy Scientific Corp. (GSC), will receive a whistleblower award of roughly $250,000 from the $1.1 million GSC agreed to pay (along with SRA International Inc., Galaxy Technology LLC, and Engineering Integrated Services L.L.C.) to resolve allegations they violated the False Claims Act through GSC’s use of shell affiliates to improperly induce the government to fund and award task orders, disguise actual costs, misrepresent what work was actually performed, and capture unlawful profit with respect to certain military contracts.  DOJ (DNJ)

June 29, 2016 — Travis Thams, former employee of Minneapolis-based Cardiovascular Systems, Inc., will receive a yet-to-be-determined whistleblower award from the $8 million the company agreed to pay to resolve allegations that it violated the False Claims Act by paying illegal kickbacks to induce physicians to use the company’s medical devices.  DOJ (WDNC)

June 27, 2016 — Robert Spence, Mike Jones and Cheryl Jones, former employees of Irving Holdings, one of the largest taxicab companies in the US, will receive a whistleblower award of $202,500 from the $1.125 million the company agreed to pay along with several other transportation companies to resolve charges they violated the False Claims Act for failing to comply with rules and regulations governing Medicaid transportation services.  DOJ (EDTX)

June 9, 2016 — Multiple whistleblowers will receive a yet-to-be-determined award from the $54 million Raleigh, North Carolina-based specialty pharmacy Salix Pharmaceuticals, Inc. agreed to pay to settle charges it violated the federal Anti-Kickback Statute and False Claims Act by using its “speaker programs” as a mechanism to pay kickbacks to doctors to induce them to prescribe Salix drugs and medical devices.  DOJ (SDNY)

June 6, 2016 — Former Genentech Inc. employee Brian Shields will receive a whistleblower award of roughly $10 million from the $67 million Genentech and OSI Pharmaceuticals agreed to pay to resolve charges they violated the False Claims Act by making misleading statements about the effectiveness of the cancer drug Tarceva.  Whistleblower Insider

June 1, 2016 — A former employee of Nashville drug testing laboratory Prost-Data, Inc. (d/b/a OURLab) will receive a whistleblower award of $1.683 million from the $9.35 million OURLab and its former owner, along with OPKO Health, Inc. and OPKO Lab, agreed to pay to resolve charges they violated the False Claims Act by providing illegal kickbacks in the form of donations toward electronic health records systems purchased by their client physician practices.  DOJ (MDTE)

June 1, 2016 — Rickey Howard, a former employee of Harper Construction Company subcontractor Frazier Masonry Corporation will receive a whistleblower award of $1,485,000 from the $5.4 million Harper Construction agreed to pay to resolve allegations it violated the False Claims Act by fraudulently billing the government for work on multiple projects on military bases through the use of sham small disadvantaged businesses.  DOJ (SDCA)

May 2016

May 31, 2016 — Newark, New Jersey-based Saint Michael’s Medical Center Inc. agreed to pay $450,000 to resolve allegations it violated the False Claims Act by falsely billing Medicare and Medicaid for medically unnecessary cardiac procedures.  The allegations originated in a whistleblower lawsuit under the qui tam provisions of the False Claims Act.  DOJ (DNJ)

May 27, 2016 — Chris Coyle, a former sales representative of medical device manufacturer Paradigm Spine, will receive a whistleblower award of approximately $105,300 from the $585,000 Paradigm agreed to pay to resolve allegations it violated the False Claims Act by marketing the company’s coflex-F® device for surgical uses not approved by the FDA and by giving false recommendations on how to code health claims for procedures involving the device.  DOJ (DMD)

May 16, 2016 — A former employee of Mountain States Contractors will receive a whistleblower award of $500,000 from the $2.25 million Mountain States agreed to pay to settle charges of violating the False Claims Act by submitting false claims for payment in connection with the Department of Transportation’s Disadvantaged Business Enterprise Program.  Whistleblower Insider

May 3, 2016 — Two whistleblowers will receive a whistleblower award of $2.86 million from the $13 million Menlo Worldwide Services and Estes Forwarding Worldwide agreed to pay to resolve allegations that they violated the False Claims Act by overcharging the government by billing for the cost of moving freight by air when it was actually shipped by ground.  Whistleblower Insider

April 2016

April 29, 2016 — Two former employees and one current employee of Coloplast Corp. will receive a yet-to-be-determined whistleblower award from the roughly $21 million Hollister Inc. and Byram Healthcare Centers Inc. agreed to pay to resolve allegations they violated the False Claims Act through an illegal kickback scheme.  According to the government, Hollister paid kickbacks to Byram in return for marketing promotions, conversion campaigns and other referrals of patients to Hollister’s ostomy and continence care products.  DOJ

April 27, 2016 — Kelly Wells, an e-commerce furniture retailer, will receive a whistleblower award of $2.4 million from the $15 million Los Angeles-based furniture seller Z Gallerie LLC agreed to pay to resolve allegations it violated the False Claims Act through a scheme to evade customs duties on imports of wooden bedroom furniture from China.  DOJ

April 27, 2016 — Lauren Kieff, a former hospital sales representative for AstraZeneca, and William St. John LaCorte, a physician practicing in New Orleans, will collectively receive a whistleblower award of roughly $98 million from the $784.6 million Wyeth and Pfizer, Inc. agreed to pay to resolve allegations that Wyeth violated the False Claims Act by reporting to the government false prices on two of its proton pump inhibitor (PPI) drugs, Protonix Oral and Protonix IV.  It allegedly did so to avoid paying hundreds of millions of dollars in rebates it owed Medicaid.  Whistleblower Insider

April 27, 2016 — A whistleblower will receive a yet-to-be-determined whistleblower award from the $2 million Bering Straits Technical Services and its parent company Bering Straits Native Corporation agreed to pay to settle charges of violating the False Claims Act by charging the government for false preventative maintenance reports for maintenance that was not performed and false repair work orders.  DOJ (SDNY)

April 18, 2016 — A former practice manager of Maryland-based Bon Secours Health System and a former colleague of one of its surgical oncologists, Dr. Eugene Chang, will receive a whistleblower award of $108,000 from the $400,000 Bon Secours and Dr. Chang agreed to pay to settle charges of violating the False Claims Act by billing Medicare and other federal healthcare programs for non-covered breast examinations and ultrasounds.  Whistleblower Insider

April 18, 2016 — A former employee of California-based sportswear importer Winds Enterprises, Inc. will receive a whistleblower award of $300,000 from the $1.5 million Winds Enterprises agreed to pay to resolve allegations it violated the False Claims Act by underpaying on import duties on shipments from 2010 to 2014.  DOJ (WDWA)

April 14, 2016 — The former Chief Compliance Officer of Boston Medical Center will receive a yet-to-be-determined whistleblower award from the $1.1 million Boston Medical Center and two of its physician practice organizations agreed to pay to resolve allegations they violated the False Claims Act through various improper billing practices to Medicare and Medicaid.  DOJ (DMA)

April 13, 2016 — Rosa Gomez, who had worked in the billing department of Florida Pain Medicine Associates, Inc. will receive a whistleblower award of $242,000 from the $1.1 million Florida Pain Medicine Associates agreed to pay to resolve allegations of violating the False Claims Act by billing Medicare for medically unnecessary nerve conduction studies.  DOJ (SDFL)

April 11, 2016 — The former CEO of Tennessee-based urine screening company PremierTox 2.0, Inc. (previously called Nexus) and a former manager of a pain clinic will receive whistleblower awards of roughly $56,000 and $361,000, respectively, from the $2.5 million PremierTox agreed to pay resolve allegations it violated the False Claims Act by submitting false claims when billing Medicare, TennCare and Kentucky Medicaid for drug urine screening services.  DOJ (MDTN)

March 2016

March 28, 2016 — Reade Manufacturing Company will receive a whistleblower award of $400,000 from the $2 million ESM Group Inc. agreed to pay to settle charges that it and Tennessee-based defense contractor Kilgore Flares Company (which paid $6 million) violated the False Claims Act by selling defective and illegally imported infrared countermeasure flares to the U.S. Army and, for ESM, knowingly evading U.S. customs duties.  Whistleblower Insider

March 23, 2016 — Dr. Gibran Ameer will receive a whistleblower award of $5.38 million from the $34.8 million Pennsylvania-based Respironics Inc. agreed to pay to resolve charges it violated the False Claims Act and Anti-Kickback Statute by paying kickbacks in the form of free call center services to durable medical equipment suppliers that bought its masks for patients with sleep apnea.  DOJ

March 14, 2016 — John Rubar, an employee of Syracuse-based government contractor Hayner Hoyt will receive a whistleblower award of $875,000 from the $5 million the company agreed to pay to settle charges its chairman and chief executive officer, president and affiliate companies LeMoyne Interiors and Doyner Inc. violated the False Claims Act by exploiting contracting opportunities reserved for service-disabled veterans.  Whistleblower Insider

March 9, 2016 — Two former students of New York-based Bard College with receive a yet-to-be-determined whistleblower award from the $4 million the college agreed to pay to resolve allegations it violated the False Claims Act by receiving funds under the Department of Education’s Teacher Quality Partnership Grant Program despite failing to comply with the conditions of the grant.  DOJ (EDCA)

March 8, 2016 — Joseph Ting, a former physicist at South Florida Radiation Oncology, will receive a whistleblower award of more than $7 million from the $34.7 million cancer care provider 21st Century Oncology Inc. and its wholly owned subsidiary South Florida Radiation Oncology agreed to pay to settle charges they violated the False Claims Act by performing and billing for cancer care procedures that were not medically necessary or properly provided.  Whistleblower Insider

March 7, 2016 — Melessa Ponzio and Sharon Clubb, employees of Federal Prison Industries, will receive a whistleblower award of $450,000 from the $3 million Ohio-based defense contractor ArmorSource, LLC agreed to pay to settle charges of violating the False Claims Act by selling the U.S. Army combat helmets that were manufactured and tested using methods that did not conform to contract requirements, that failed to meet contract performance standards and that were eventually recalled after several lots failed ballistic safety tests.  DOJ

March 2, 2016 — Gregory Simony, a former employee of Florida-based home health care service provider Recovery Home Care, will receive a whistleblower award of up to $315,000 from the $1.75 million the company agreed to pay to resolve charges of violating the False Claims Act by paying illegal kickbacks to doctors who agreed to refer Medicare patients.  DOJ

March 1, 2016 — John Slowik, former chief compliance officer of Olympus Corp. of America, the country’s largest distributor of endoscopes and related equipment, will receive a whistleblower award of roughly $51 million from the $623.2 million Olympus agreed to pay to resolve alleged violations of the False Claims Act and Anti-Kickback Statute through a scheme to pay kickbacks to doctors and hospitals.  It is the largest payout ever by a medical device company for violations of the Anti-Kickback Statute.  Whistleblower Insider

February 2016

February 29, 2016 — The Natural Resources Defense Council and several former employees of Lockheed Martin will collectively receive a whistleblower award of $920,000 from the $5 million Lockheed agreed to pay to resolve allegations of violating the Resource Conservation and Recovery Act and False Claims Act by knowingly submitting false claims for payment under their contracts with the Department of Energy to operate the Paducah Gaseous Diffusion Plant in Kentucky.  DOJ

February 22, 2016 — Graphite Electrode Sales Inc. will receive a whistleblower award of approximately $480,000 from the $3 million Pennsylvania-based importers Ameri-Source International Inc., Ameri-Source Specialty Products Inc., Ameri-Source Holdings Inc. and others agreed to pay to resolve charges they violated the False Claims Act by engaging in a scheme to evade customs duties on imports of small-diameter graphite electrodes from China.  Whistleblower Insider

February 22, 2016 — An unidentified whistleblower will receive a yet-to-be-determined whistleblower award from the $450,000 to $675,000 amount government contractor Paige Industrial Services, Inc. agreed to pay to resolve allegations it violated the False Claims Act by submitting claims falsely certifying it had complied with the Davis-Bacon Act, which requires the payment of certain prevailing wages and fringe benefits to employees working under a government contract.  DOJ(MD)

February 19, 2016 — Heather Huddleston, former employee of Adventist Health System Sunbelt Healthcare Corporation, will receive a whistleblower award of $376,452 from the $2.09 million Adventist agreed to pay to resolve allegations it violated the False Claims Act by administering to patients portions of single-dose vials of chemotherapy drugs that were left over from administrations to prior patients.  DOJ (MDFL)

February 17, 2016 — Leatrice Ford Richards, a cardiac nurse and Thomas Schuhmann, a health care reimbursement consultant, will receive a whistleblower award of more than $3.5 million from the $23 million fifty-one hospitals in 15 states agreed to pay to settle charges of violating the False Claims Act by implanting cardiac devices in Medicare patients in violation of Medicare coverage requirements.  DOJ

February 1, 2016 — Gary W. Reno will receive a whistleblower award of $1,332,000 from the $7.4 million Florida-based military contractor Centerra Services International Inc. (formerly known as Wackenhut Services) agreed to pay to resolve allegations it violated the False Claims Act by double billing and inflating labor costs on its firefighting and fire protection services contract with the Army in Iraq.  Whistleblower Insider

January 2016

January 21, 2016 — David Heisler will receive a yet-to-be-determined whistleblower award from the $46.7 million New York-based CenterLight Healthcare, Inc. and CenterLight Health System, Inc. agreed to pay to resolve allegations they violated the federal and New York State False Claims Acts by enrolling ineligible members in their Medicaid managed long-term care plan.  Whistleblower Insider

January 12, 2016 — Janet Halpin, a physical therapist and former rehabilitation manager of RehabCare Group, and Shawn Fahey, a RehabCare occupational therapist, will receive a whistleblower award of nearly $24 million from the $125 million RehabCare Group and its Kentucky-based parent, Kindred Healthcare, Inc., agreed to pay to resolve allegations of violating the False Claims Act by knowingly causing skilled nursing facilities to submit false claims to Medicare for rehabilitation therapy services that were not reasonable, necessary and skilled, or that never occurred at all.  Whistleblower Insider

January 12, 2016 — John Hart, a former employee of durable equipment company J&L Medical Services and a licensed respiratory therapist will receive a whistleblower award of $102,000 from the $600,000 the company agreed to pay to resolve allegations it violated the federal and state False Claims Acts by regularly using the services of unlicensed technicians to provide respiratory therapy services to Medicare and Medicaid beneficiaries.  DOJ (CT)

January 8, 2016 — Michael Daugherty will receive a whistleblower award of over $2.5 million from the roughly $10 million Dr. David G. Bostwick and his Virginia-based pathology lab Bostwick Laboratories Inc. agreed to pay to resolve charges of violating the False Claims Act for billing Medicare and Medicaid for medically unnecessary cancer detection tests and offering incentives to physicians to obtain Medicare and Medicaid business.  DOJ

January 5, 2016 — Marsha McCullough, a former order entry technician of Nashville Pharmacy Services will receive a whistleblower award of up to $1.4 million from the $7.8 million the pharmacy and its owner agreed to pay to resolve charges they violated the False Claims Act by overbilling Medicare and TennCare for pharmacy services.  Whistleblower Insider

January 5, 2016 — Brenda King will receive a whistleblower award of approximately $400,000 from the $3 million Wisconsin-based Novum Structures LLC agreed to pay to resolve its criminal and civil liability arising from its improper use of foreign materials in federally funded construction projects which had “Buy America” requirements.  DOJ

December 2015

December 23, 2015 — Former Memorial Health CEO Phillip Schaengold will receive a yet-to-be disclosed whistleblower reward from the roughly $10 million Memorial Health, Inc., Memorial Health University Medical Center, Inc., Provident Health Services, Inc., and MPPG, Inc. (d/b/a Memorial Health University Physicians) agreed to pay to settle charges they violated the False Claims Act by submitting claims to the Government in violation of the Stark Law.  DOJ (SDGA)

December 22, 2015 — Two former employees and one current employee of Coloplast Corp., a manufacturer of ostomy and continence care products, will receive a yet-to-be-determined whistleblower award from the $3,160,000 Coloplast agreed to pay and the $500,000 Liberator Medical Supply, Inc. agreed to pay to resolve allegations that Coloplast paid unlawful kickbacks to several medical suppliers, including Liberator, to induce them to conduct promotional campaigns designed to refer individual users to Coloplast products.  DOJ (DMA)

December 21, 2015 — University Loft Company will receive a whistleblower award of $2.25 million from the $15 million Texas-based University Furnishings LP and its general partner, Freedom Furniture Group Inc., agreed to pay to settle charges they violated the False Claims Act by making false statements to avoid paying duties on wooden bedroom furniture imported from China.  DOJ

December 18, 2015 — A former medical assistant of 21st Century Oncology will receive a whistleblower award of $3.2 million from the $19.75  million the company agreed to pay to resolve allegations it violated the False Claims Act by billing federal health care programs for laboratory tests that were not medically necessary.  DOJ

December 18, 2015 — Meredith Deane, a former sales executive of Maryland-based splint supplier Dynasplint Systems Inc., will receive a whistleblower award of roughly $2 million from the roughly $10.3 million Dynasplint and its founder and president George Hepburn agreed to pay to resolve allegations they violated the False Claims Act by improperly billing Medicare for splints provided to patients in skilled nursing facilities.  DOJ

December 18, 2015 — Craig Patrick, a former reimbursement manager of Kyphon, Inc. and Charles Bates, a former Kyphon sales manager, will receive a whistleblower award of roughly $4.75 million from the more than $28 million 32 hospitals agreed to pay to settle charges they violated the False Claims Act by submitting false claims to Medicare for minimally-invasive kyphoplasty procedures used to treat certain spinal fractures often arising from osteoporosis.  According to the government, the settling hospitals billed Medicare for these procedures on a more costly inpatient basis when they should have been billed on a less costly outpatient basis.  DOJ

December 16, 2015 — Dr. Stephan Porter will receive a whistleblower award of roughly $4.71 million from the $39 million Qualitest Pharmaceuticals agreed to pay settle charges it, along with its corporate shell, Vintage Pharmaceuticals, its parent Endo Pharmaceuticals, and seven of their affiliates, agreed to pay to settle charges they violated the False Claims Act by selling understrength chewable fluoride tablets.  Whistleblower Insider

December 1, 2015 — An unidentified whistleblower will receive a whistleblower award of roughly $1.1 million from the $8.5 million Wisconsin-based Pharmasan Labs, Inc., its related billing company NeuroScience, Inc. and their founders, Gottfried and Mieke Kellermann, agreed to pay to resolve charges they violated the False Claims Act by (i) submitting false information for laboratory services, and (ii) violating Medicare rules for services referred by non-physician practitioners.  Whistleblower Insider

November 2015

November 30, 2015 — A former contract salesperson for North Carolina-based diagnostic anatomic pathology group Piedmont Pathology Associates, Inc. and Piedmont Pathology, P.C. will receive a whistleblower award of $75,000 from the $500,000 the group agreed to pay to settle allegations it violated the False Claims Act and Anti-Kickback Statute by engaging in improper financial relationships with referring physicians.  DOJ(NC)

November 20, 2015 — David Kester will receive a yet-to-be-disclosed whistleblower award from the $390 million Novartis Pharmaceuticals Corp. agreed to pay to resolve charges it violated the False Claims Act and Anti-Kickback Statute by giving kickbacks to specialty pharmacies in return for recommending two of its drugs, Exjade and Myfortic.  The settlement follows the January 2014 and April 2015 settlements of specialty pharmacies Bioscrip, Inc. and Accredo Health Group under which the pharmacies agreed to pay a total of $75 million to resolve False Claims Act charges based on the same allegations.  Whistleblower Insider

 November 18, 2015 — Two former employees of Deaconess Home Health, Inc. and another whistleblower will share a whistleblower award of $600,000 from the $3,724,000 Deaconess and its owner, Lazarus Bonilla, agreed to pay to resolve charges they violated the False Claims Act through the false billing of personal care worker services to the Wisconsin Medicaid Program.  DOJ (EDWI)

November 16, 2015 — Several whistleblowers will collectively receive a whistleblower award of $11.3 million from the $95.5 million Pittsburgh-based for-profit education company Education Management Corp. agreed to pay to resolves allegations it violated the federal False Claims Act and several state False Claims Acts by falsely certifying it was in compliance with Title IV of the Higher Education Act and parallel state statutes.  Whistleblower Insider

 November 16, 2015 — HCA Holdings, Inc. employee Kelly Oxendine will receive a whistleblower award of roughly $400,000 from the $2 million HCA agreed to pay to resolve charges of violating the False Claims Act through billing Medicare for unnecessary lab tests and double billing for fetal testing.  DOJ(SC)

 November 4, 2015 — Virginia pharmacist and attorney Ronald Streck will receive a yet-to-be-disclosed whistleblower award from the $54 million AstraZeneca LP and Cephalon, Inc. agreed to pay to settle government charges they violated federal and state False Claims Acts by overcharging state Medicaid programs for their pharmaceutical products.  According to the government, the two pharmaceutical companies underpaid drug rebates owed the states under the Medicaid Drug Rebate Program which requires drug makers to periodically return to the government a portion of their Medicaid proceeds.  Whistleblower Insider

November 2, 2015 — John Kingsley, former employee of Massachusetts-based telecom software company NetCracker Technology Corp., will receive a whistleblower award of $2,358,750 from the $11.4 million NetCracker agreed to pay and the $1.35 million Virginia-based information technology company Computer Sciences Corp. agreed to pay to settle charges they violated the False Claims Act by using individuals without security clearance on a government defense contract.  Whistleblower Insider

October 2015

October 30, 2015 — Leatrice Ford Richards, a cardiac nurse, and Thomas Schuhmann, a health care reimbursement consultant have so far received a whistleblower award of more than $38 million from the more than $250 million in settlements the Department of Justice has obtained from 457 hospitals in 43 states relating to cardiac devices implanted in Medicare patients in violation of Medicare coverage requirements.  DOJ

October 29, 2015 — Two former sales representatives of Warner Chilcott Sales LLC, a subsidiary of pharmaceutical manufacturer Warner Chilcott PLC, will receive a whistleblower award of approximately $22.9 million from the $125 million Warner Chilcott agreed to pay to resolve its criminal and civil liability arising from illegally marketing the drugs Actonel, Asacol, Atelvia, Doryx, Enablex, Estrace and Loestrin in violation of the False Claims Act and Anti-Kickback Statute.  Whistleblower Insider

October 19, 2015 — Several whistleblowers will share a whistleblower award of $32 million from the $256 million Millennium Health (formerly Millennium Laboratories) agreed to pay to resolve charges it violated the False Claims Act by billing Medicare for medically unnecessary urine drug and genetic testing and violated the Stark Law and Anti-Kickback Statute through improper financial payments and inducements.  Whistleblower Insider

October 16, 2015 — Dr. Michael K. Drakeford will receive a whistleblower award of roughly $18.1 million from the $72.4 million South Carolina-based Tuomey Healthcare System agreed to pay to settle charges of violating the Stark Law and False Claims Act by billing Medicare for services referred by physicians with whom the hospital had improper financial relationships.  Whistleblower Insider

October 14, 2015 — Former Boeing Company employee James Thomas Webb will receive a whistleblower award of roughly $3 million from the $18 million Boeing agreed to pay to settle charges it violated the False Claims Act by submitting false claims for labor charges on maintenance contracts with the US Air Force.  Whistleblower Insider

October 9, 2015 — Patients of Dr. Abubakar Atiq Durrani will collectively receive a whistleblower award of roughly $800,000 from the $4.1 million Cincinnati-based West Chester Hospital and its parent company UC Health agreed to pay to settle allegations that West Chester Hospital violated the False Claims Act by billing federal health care programs for medically unnecessary spine surgeries performed by Durrani.  DOJ

October 7, 2015 — Former Abbott Laboratories employee Meredith McCoyd will receive a whistleblower award of $1 million from the $9.25 million PharMerica Corp. agreed to pay to resolve allegations it violated the False Claims Act by soliciting and receiving kickbacks from pharmaceutical manufacturer Abbott Laboratories in exchange for promoting the anti-epileptic prescription drug Depakote to nursing home patients.  Whistleblower Insider

October 7, 2015 — Cheryl Sifford will receive a yet-to-be-determined whistleblower award from the $2.2 million Phoenix-based Serenity Hospice and Palliative Care agreed to pay to resolve allegations it violated the False Claims Act by submitting false bills to Medicare for hospice services.  DOJ (AZ)

 October 2, 2015 — Rose Betts and Jennifer Williams, former employees of Guardian Hospice of Georgia, will receive a whistleblower award of approximately $510,000 from the $3 million Guardian agreed to pay to resolve allegations it violated the False Claims Act by submitting claims to Medicare for hospice patients who were not terminally ill.  DOJ

October 1, 2015 — Alisia Robinson-Hill and David Price, former employees of Nurses’ Registry and Home Health Corporation, will receive a yet-to-be-determined whistleblower award from the $16 million Nurses’ Registry agreed to pay to resolve allegations it violated the False Claims Act by fraudulently billing Medicare for medically unnecessary home health services and for services tainted by kickbacks provided to local physicians and others who referred patients to the company.  DOJ (KY)

October 1, 2015 — A former employee of Strata Pathology Laboratory, Inc. (known as StrataDx) will receive a yet-to-be-determined whistleblower award from the $558,793 Strata agreed to pay to resolve allegations it violated the False Claims Act by inducing physicians to refer Medicare and Medicaid patients to Strata by paying kickbacks in the form of sham consulting fees and providing unlawful discounts to physicians.  DOJ (MA)

September 2015

September 28, 2015 — Former L-3 Communications Corporation independent contractor Robert A. Martin will receive a whistleblower award of $798,675 from the $4.63 million L-3 agreed to pay to resolve allegations it violated the False Claims Act by inflating labor hours for time spent by independent contractors at the military’s Continental US Replacement Centers in Fort Benning, Georgia and Fort Bliss, Texas.  Whistleblower Insider

September 21, 2015 — Former Adventist Health System employees Michael Payne, Melissa Church and Gloria Pryor will receive a yet-to-be-determined whistleblower award from the $115 million Adventist agreed to pay to settle allegations it violated the False Claims Act by maintaining improper compensation arrangements with referring physicians and by miscoding claims.  DOJ

September 15, 2015 — Dr. Michael Reilly will receive a whistleblower award of roughly $12 million from the $69.5 million North Broward Hospital District agreed to pay to settle allegations it violated the False Claims Act by engaging in improper financial relationships with referring physicians.  DOJ

September 10, 2015 — Linda Anderson, a former triage nurse of Alive Hospice, Inc., will receive a whistleblower award of $263,197 from the approximately $1.5 million Alive paid to reimburse the government for alleged violations of the False Claims Act through overbilling of Medicare and TennCare for hospice services.  Whistleblower Insider

September 4, 2015 — Richard Barker, former executive at Columbus Regional Healthcare System, will receive a yet-to-be-determined whistleblower award from the more than $25 million Columbus Regional agreed to pay resolve allegations it violated the False Claims Act by violating the Stark Law through paying excessive salary and directorship payments to one of its physicians and submitting claims to federal health care programs for services at higher levels than supported.  DOJ

September 4, 2015 — James F. Valenti Jr. will receive a whistleblower award of approximately $79,000 from the $385,000 and $50,000 Robert Wingfield and Bill Ma agreed to pay respectively to resolve allegations they violated the False Claims Act by engaging in a scheme to evade customs duties on imports of aluminum extrusions from China.  DOJ

September 4, 2015 — Matthew McDonald, former executive of Reverse Mortgage Solution Inc., a subsidiary of Walter Investment Management Corp., will receive a whistleblower award of $5.15 million from the $29.63 million Walter Investment agreed to pay to resolve allegations it violated the False Claims Act in connection with its subsidiaries’ participation in the Department of Housing and Urban Development’s Home Equity Conversion Mortgages program.  DOJ

September 3, 2015 — Three former employees of St. Joseph Hospice Entities, which consists of 13 hospice facilities in Mississippi, Louisiana, Texas and Alabama, will receive a collective whistleblower award of roughly $1 million from the $5,867,518 St. Joseph’s agreed to pay to resolve allegations it violated the False Claims Act by submitting false claims for delivery of continuous home care hospice services to patients who were not entitled to receive them.  DOJ

September 1, 2015 — Joshua Leighr, a former pharmacist with KMART Corp. will receive a whistleblower award of approximately $248,500 from the $1.4 million Kmart agreed to pay to resolve allegations it violated the False Claims Act by using drug manufacturer coupons and gasoline discounts as improper Medicare beneficiary inducements.  DOJ

August 2015

August 24, 2015 — Mathew I. Gelfand and Enrico Montaperto will receive a whistleblower award from the $8 million SpecialCare Hospital Management Corporation agreed to pay to settle charges it violated the New York False Claims Act by illegally referring patients to unlicensed drug and alcohol treatment programs in exchange for kickbacks.  NY

August 19, 2015 — Blake Percival, a former executive at US Investigations Services Inc., will receive a yet-to-be-determined whistleblower award from the settlement between USIS and its parent company Altegrity and the government to settle charges that USIS violated the False Claims Act by failing to provide proper background checks as required under its contract with the  Office of Personnel Management.  As part of the settlement, the companies agreed to forgo $30 million in payments they claim OPM owed them.  Whistleblower Insider

August 19, 2015 — Dr. Arnaldo Trabucco will receive a yet-to-be-determined whistleblower award from the $207,988 Arizona physician Dr. Bashir Azher agreed to pay to resolve allegations he violated the False Claims Act by submitting false bills to Medicare for prostate laser ablation procedures that were too short to generate a therapeutic benefit, failed to meet professionally recognized standards of care, were medically unnecessary, and/or violated applicable Medicare regulations.  DOJ

August 13, 2015 — Dr. Jean Moore will receive a whistleblower award of $825,000 from the $5.5 million Mercy Health Springfield Communities (formerly known as St. John’s Health System Inc.) and its affiliate, Mercy Clinic Springfield Communities (formerly known as St. John’s Clinic), agreed to pay to settle charges they violated the False Claims Act by engaging in improper financial relationships with referring physicians.  DOJ

August 11, 2015 — Maverick Granger, a former executive at computer supply company Technology Integration Group, will receive a yet-to-be determined whistleblower award from the $5.9 million TIG agreed to pay to settle charges it inflated the price of computers sold through Sandia Corporation to the National Nuclear Security Administration for use at Sandia National Laboratories in Albuquerque, New Mexico.  Whistleblower Insider

July 2015

July 30, 2015 — Former NuVasive Inc. sales representative Kevin Ryan will receive a whistleblower reward of approximately $2.2 million from the $13.5 million NuVasive agreed to pay to resolve charges it violated the False Claims Act by improperly promoting the company’s CoRoent System for spine surgeries for uses not approved by the Food and Drug Administration.  Whistleblower Insider

July 17, 2015 — The SEC announced its 18th whistleblower award since the program’s inception – this one for over $3 million, the third highest to date.  This puts the award total at over $50 million.  Whistleblower Insider

July 6, 2015 — Steven O. Sansbury and James T. Buechler, former employees of LB&B Associates Inc., will receive a whistleblower award of $1.5 million from the $7.8 million LB&B paid to settle allegations the company violated the False Claims Act by making false statements to obtain contracts through the Small Business Administration’s (SBA’s) 8(a) Business Development Program for Small Disadvantaged Businesses.  DOJ

July 6, 2015 — Pharmacist Ronald J. Streck will receive a yet-to-be-determined whistleblower award from the $46.5 million and $7.5 million AstraZeneca LP and Cephalon Inc. agreed to pay, respectively, to settle charges they violated the False Claims Act by knowingly underpaying rebates they owed under the Medicaid Drug Rebate Program.  Whistleblower Insider

June 2015

June 30, 2015 — Dane Smith, a former vice president of the Americas at VMware Inc. will receive a yet-to-be-determined whistleblower award from the $75.5 million VMware and Carahsoft Technology Corporation agreed to pay to settle charges they violated the False Claims Act by misrepresenting their commercial pricing practices and overcharging the government on VMware software products and related services.  Whistleblower Insider

June 29, 2015 — A former employee of John Muir Health will receive a whistleblower award of $110,000 from the $550,000 John Muir Health agreed to pay to resolve allegations it violated the False Claims act by submitting false claims for Medicare reimbursement by failing to have physicians adequately supervise the delivery of radiation therapy services.  DOJ

June 24, 2015 — Dr. Alon Vanier and nurse Daniel Barbir will receive a very sizeable whistleblower award from the $450 million DaVita Healthcare Partners, Inc. agreed to pay to settle charges it violated the False Claims Act by purposely creating and then billing the government for unnecessary waste in administering the drugs Zemplar and Venofer to dialysis patients.  Whistleblower Insider

June 24, 2015 — Five whistleblowers will share a whistleblower award of roughly $1.8 million from the $13 million Education Affiliates agreed to pay to settle charges it violated the False Claims Act by submitting false claims to the Department of Education for federal student aid.  Whistleblower Insider

 June 16, 2015 — Stephen Beaujon, a former CFO of Hebrew Homes Health Network Inc., will receive a whistleblower award of $4.25 million from the $17 million Hebrew Homes agreed to pay to settle charges it violated the False Claims Act by improperly paying doctors for referrals of Medicare patients requiring skilled nursing care.  It is the largest settlement involving alleged violations of the Anti-Kickback Statute by skilled nursing facilities in the US.   Whistleblower Insider

June 16, 2015 — Advanced Homecare former employee Marsha Yandell will receive a whistleblower award of more than $200,000 from the $1.3 million Jacksonville, Florida-based home health company Advanced Homecare, Inc. agreed to pay to settle charges it violated the False Claims Act by billing the government for millions of dollars of medically unnecessary services.  DOJ

June 15, 2015 — Former Children’s National Medical Center employee James A. Roark Sr. will receive a whistleblower award of $1,890,649.98 from the $12.9 million Children’s Hospital, Children’s National Medical Center Inc. and its affiliated entities agreed to pay to resolve allegations they violated the False Claims Act by submitting false cost reports and other applications to the components and contractors of the Department of Health and Human Services, as well as to Virginia and District of Columbia Medicaid programs.  DOJ

June 9, 2015 — Josh Harman will receive a whistleblower award of nearly $19 million from the $663 million highway guardrail maker Trinity Industries was ordered to pay for violating the False Claims Act by defrauding the Federal Highway Administration by making a critical change to the dimensions of its ET-Plus guardrail in 2005, but failing to tell federal regulators as required by law.  NYT

June 5, 2015 — Former DC Public Schools employee Jeffrey Mills will receive a yet-to-be-determined whistleblower award from the $19.4 million paid by Chartwells, a division of Compass Group USA, Inc. and Thompson Hospitality Services LLC to settle charges the company violated the False Claims Act by overcharging DC public schools in connection with its school lunch program contracts.  DC

June 5, 2015 — Michelle Smith with receive a yet-to-be-determined whistleblower award from the $324,327 settlement paid by Atlanta-based dental practice Dennis B. Jaffe D.M.D., P.C. and its principal Dennis Jaffe to settle charges they violated the False Claims Act by fraudulently billing Medicaid for tooth extraction procedures and for fraudulently billing for services rendered by a dental assistant when Jaffe was not present in the office.  DOJ

June 4, 2015 — Former Walton Regional Medical Center CFO Ralph D. Williams will receive a whistleblower award of $119,031 from the $595,155 paid by hospital operator Health Management Associates and Georgia-based hospital Clearview Regional Medical Center to settle charges they violated the False Claims Act and Anti-Kickback Statute through a scheme under which kickbacks were paid to a medical clinic in exchange for the clinic’s referral of pregnant women to Walton Regional for deliveries paid for by Medicaid.  DOJ

June 1, 2015 — Kay Flippo, a licensed practical nurse who previously worked for Friendship Home Healthcare, will receive a yet-to-be-determined whistleblower award from the $6.5 million the Friendship group of health care companies paid to settle charges they violated the False Claims Act for improperly billing TennCare, Medicare and TRICARE for home health services.  DOJ

May 2015

May 28, 2015 — Cheryl Mazurek will receive a whistleblower award of $648,000 from the $3.6 million settlement paid by Garden State Cardiovascular Specialists P.C. to settle charges it violated the False Claims Act by submitting claims to Medicare for various cardiology diagnostic tests and procedures not medically necessary. DOJ

 May 27, 2015 — Dustin Clyde and Tyler Jackson, former employees of durable medical equipment supplier Orbit Medical Inc. will collectively receive a whistleblower award of approximately $1.5 million from the $7.5 million settlement paid by Orbit and its partial successor, Rehab Medical Inc., to settle charges they violated the False Claims Act through Orbit’s submission of false claims to federal health care programs for power wheelchairs and accessories.  Whistleblower Insider

May 20, 2015 — Former AstraZeneca employees Paul DiMattia and F. Folger Tuggle will receive a yet-to-be-determined whistleblower award from the $7.9 million settlement to be paid by pharmacy benefits manager Medco Health Solutions Inc. to settle charged it violated the Anti-Kickback Statute and False Claims Act through its arrangement with AstraZeneca under which AstraZeneca provided kickbacks to Medco in exchange for Medco identifying Nexium as the “sole and exclusive” proton pump inhibitor on certain of Medco’s prescription drug lists known as formularies.  DOJ

May 20, 2015 — Former Baptist Neurology Inc. employee Verchetta Wells will receive a whistleblower award of $26,250 from the $150,000 settlement to be paid by Florida-based neurologist Dr. Sean Orr to settle charges he violated the False Claims Act by providing medically unnecessary neurological services and drugs to federal health care program beneficiaries.  DOJ

May 19, 2015 — Former United Parcel Service employee Robert K. Fulk will receive a whistleblower award of $3.75 million from the $25 million settlement UPS agreed to pay to resolve allegations it violated the False Claims Act by submitting false claims to the federal government in connection with its delivery of Next Day Air overnight packages.  Whistleblower Insider

May 14, 2015 — Jennifer Denk, a pharmacist formerly employed by PharMerica Corporation, will receive a whistleblower award of $4.3 million from the $31.5 million PharMerica paid to settle charges it violated the Controlled Substances Act and False Claims Act by dispensing Schedule II controlled drugs without a valid prescription. Whistleblower Insider

May 7, 2015 — An unidentified whistleblower will receive a whistleblower award of $2,667,300 from the $15.69 million paid by Health Management Associates, Community Health Systems and North Texas Medical Center to settle charges they violated the False Claims Act by seeking and receiving Medicare reimbursement for Intensive Outpatient Psychotherapy services that were not medically reasonable or necessary. Whistleblower Insider

May 7, 2015 — Dr. Wood D. Deming will received an undisclosed whistleblower award from the $1,328,465 settlement paid by Tennessee-based Jackson-Madison County General Hospital to resolve allegations it improperly billed Medicare and Medicaid for the placement of unnecessary cardiac stents and other unnecessary cardiac procedures. DOJ

April 2015

April 29, 2015 — Connie Brogdon and Summer Holland will receive an undisclosed whistleblower award from the $520,000 settlement paid by the Hospital Authority of Irwin County (ICH) and several doctors to settle charges they violated the False Claims Act, the Anti-Kickback Statute, the Stark Law and related Georgia Medicaid policies in connection with the amount of compensation ICH paid to one of the doctors, ICH’s leases with the doctors, and the supervision of certain diagnostic imaging services at ICH.  DOJ

April 28, 2015 — The SEC awarded $600,000 to an unidentified whistleblower who suffered “unique hardships, including retaliation” as a result of blowing the whistle on misconduct at hedge fund advisory firm Paradigm Capital Management.  It is the first time the SEC has made an award to a whistleblower in a retaliation case.  Whistleblower Insider

April 22, 2015 — The SEC announced a whistleblower award of roughly $1.5 million to an unidentified compliance officer who had a reasonable basis to believe that disclosure to the SEC was necessary to prevent imminent misconduct from causing substantial financial harm to the company or investors.  This is the second award the SEC has made to an employee with internal audit or compliance responsibilities.  Whistleblower Insider

April 21, 2015 — Scott M. Ross MD, Mark F. Baucom and Harold Milstein MD will collectively receive a whistleblower award of more than $584,000 from the $3,247,835 paid by Family Dermatology P.C. to resolve allegations it violated the False Claims Act and the Stark Statute by engaging in improper financial relationships with a number of its employed physicians.  DOJ

April 21, 2015 — Dakshesh “Kumar” Parikh, Harish Chandna and Ajay Gaalla will collectively receive a whistleblower award of $5,981,250 from the $21,750,000 paid by Texas-based Citizens Medical Center to settle allegations it violated the False Claims Act and Stark Statute by engaging in improper financial relationships with referring physicians.  DOJ

April 9, 2015 — Dr. Michael Mayes, Scarlett Lutz, Kayla Webster and Chris Reidel will receive a yet-to-be-determined whistleblower award from the $47 million cardio testing lab Health Diagnostics Laboratory Inc. paid, and the $1.5 million Singulex Inc. paid, to resolve allegations they violated the False Claims Act by paying kickbacks to physicians in exchange for patient referrals and billing federal health care programs for medically unnecessary testing.  Whistleblower Insider

April 8, 2015 — Patricia Hopson will receive a whistleblower award of $42,500 from the $250,000 paid by Air Ideal Inc. and its majority owner Kim Amkraut to resolve allegations they made false statements to the Small Business Administration to obtain certification as a Historically Underutilized Business Zone (HUBZone) company and fraudulently procure contracts from the Coast Guard, Army, Army Corps of Engineers and Department of Interior.  DOJ

April 2, 2015 — Three unidentified whistleblowers will receive a whistleblower award of $749,700 from the $4.41 million settlement resolving allegations medical device maker Medtronic plc and its affiliated companies violated the False Claims Act by making false statements to the Department of Veterans Affairs and the Department of Defense regarding the country of origin of certain Medtronic products sold to the US.  Whistleblower Insider

March 2015

March 19, 2015 — Bank of New York Mellon agreed to pay $714 million to settle charges the bank engaged in fraud and other misconduct when providing foreign exchange (“FX”) services to its customers.  As part of the settlements with the US and New York, BNYM admitted that contrary to representations to clients that it provided “best rates” and “best execution” for FX transactions, the Bank actually gave clients the worst reported interbank rates of the trading day.  The charges originated in a lawsuit brought by a whistleblower under the New York False Claims Act.  Whistleblower Insider

March 19, 2014 — Dr. Michael Montejo, a radiation oncologist and former employee of Florida Oncology Network P.A, will receive a whistleblower award of $1,082,500 from the $5,412,502 settlement resolving allegations Adventist Health System Sunbelt Healthcare Corporation violated the False Claims Act by providing radiation oncology services to Medicare and TRICARE beneficiaries that were not directly supervised by radiation oncologists or similarly qualified persons.  DOJ

March 16, 2015 — Global pharmaceutical company Daiichi Sankyo, Inc. agreed to pay the US and dozens of state Medicaid programs $39 million to resolves allegations it violated the False Claims Act by using lavish meals and speaker programs to improperly induce physicians to prescribe the drugs Azor, Benicar, Tribenzor and Welchol.  The allegations originated in a whistleblower lawsuit filed by former Daiichi sales representative Kathy Fragoules under the qui tamprovisions of the federal and New York State False Claims Acts.  She will receive $6.1 million of the federal recovery and an undisclosed portion of the state recoveries.  NY

March 12, 2015 — Miami-based lender Hencorp Becstone Capital L.C. agreed to pay $3.8 million to resolve allegations under the False Claims Act that it made false statements and claims to the Export-Import Bank of the United States in order to obtain loan guarantees.  The allegations arose in a whistleblower lawsuit filed Genaro Benites Caballero, the former owner of one of the purported purchasers under the scheme, and Patricia Doris Lee Dominguez, a former attorney for the purported purchaser, under the qui tam provisions of the False Claims Act.  They will receive a whistleblower award of $608,000DOJ

March 9, 2015 — Gregory Simony, a former employee of Recovery Home Care Inc. will receive a whistleblower award of$198,000 from the $1.1 million settlement resolving allegations Recovery Home Care violated the False Claims Act by improperly paying doctors for referrals of home health care services provided to Medicare patients.  DOJ

March 9, 2015 — Two former employees of the Mental Health Association of Rockland County, Inc. will receive an undisclosed whistleblower award from the $304,000 settlement resolving allegations MHAR violated the New York False Claims Act through its managers and employees altering records in advance of a Medicaid audit so the records would appear to support claims MHAR submitted to New York State’s Medicaid program.   NY

February 2015

February 18, 2015 — An unidentified whistleblower will receive an undisclosed whistleblower award from the $6.7 million settlement resolving allegations hospice services provider Compassionate Care Hospice Group violated the federal and New York False Claims Acts by submitting claims to Medicare and Medicaid for hospice nursing services not actually or adequately provided.  Whistleblower Insider

February 12, 2015 — James F. Valenti Jr. will receive a whistleblower award of $555,000 from the $3 million False Claims Act settlement resolving allegations that C.R. Laurence Co. Inc., Southeastern Aluminum Products Inc. and Waterfall Group LLC lied to US Customs and Border Protection agents to evade customs duties on imports of aluminum extrusions from China.  DOJ

February 11, 2015 — Former AstraZeneca employees Paul DiMattia and F. Folger Tuggle will collectively receive a whistleblower award of $1,422,000 from the $7.9 million False Claims Act settlement resolving allegations AstraZeneca engaged in an illegal kickback scheme with pharmacy benefit manager Medco Health Solutions by paying Medco for preferred marketing of AstraZeneca’s Nexium drug.  Whistleblower Insider

February 6, 2015 — Kathi Cordingley and Tracy Jones, former employees of Oklahoma-based hospice care provider Good Shepherd Hospice Inc., will receive a whistleblower award of approximately $680,000 from the $4million False Claims Act settlement resolving allegations Good Shepherd submitted false claims for hospice patients who were not terminally ill.  DOJ

February 6, 2015 — Jason Nickell, former sales representative of Minnesota-based medical device manufacturer Medtronic Inc., will receive a whistleblower award of $602,000 from the $2.8 million False Claims Act settlement resolving allegations Medtronic improperly promoted a certain medical procedure and the use of its spinal cord stimulation devices for the procedure even though its safety and efficacy had not been established by the FDA.  DOJ

February 5, 2015 — Amanda Cashi, former sales representative of Minnesota-based medical device manufacturer ev3 Inc. (formerly known as Fox Hollow Technologies Inc.), will receive a whistleblower award of$250,000 from the $1.25 million False Claims Act settlement resolving allegations ev3 caused certain hospitals to submit false claims to Medicare for unnecessary inpatient admissions related to procedures for removing hardening of the arteries.  DOJ

February 2, 2015 — Robert Baker, former revenue manager of Tennessee-based Community Health Systems Professional Services Corporation, will receive a whistleblower reward of $18,671,561 from the $75 million False Claims Act settlement resolving allegations Community Health and three affiliated New Mexico hospitals made illegal donations to county governments which were used to fund the state share of Medicaid payments to the hospitals.  DOJ

January 2015

January 26, 2015 – Kevin Fairlie will receive a whistleblower award of $189,600 from the $948,000 False Claims Act settlement resolving allegations that Kentucky-based ambulance services company Lafferty Enterprises, LLC (d/b/a Trans-Star Ambulance Services) transported Medicare patients to and from dialysis clinics by ambulance when an ambulance transport was not medically necessary.  DOJ

January 9, 2015 — Kathy Fragoules, former sales representative of global pharmaceutical company Daiichi Sankyo Inc., will receive a whistleblower award of $6.1 million from the $39 million False Claims Act settlement resolving allegation Daiichi paid kickbacks to physicians (in the form of sham speaker fees) to induce them to prescribe Daiichi drugs, including Azor, Benicar, Tribenzor and Welchol.  DOJ

December 2014

December 19, 2014 — Brent Stanley, a former employee of Boston-based records storage company Iron Mountain, and Patrick McKillop, who worked in the records management industry, collectively will receive a whistleblower reward of $8 million from the $44.5 million False Claims Act settlement resolving allegations Iron Mountain overcharged federal agencies for record storage services under General Services Administration (GSA) contracts.  DOJ

December 8, 2014 — Michael Epp, former Director, Commercial Division and Supply Chain for Supreme Group, will receive a whistleblower award of $16.2 million from the $146 million False Claims Act settlement resolving allegations the company submitted false billings to the Department of Defense (DoD) for fuel and transporting cargo to American soldiers in Afghanistan.  DOJ

December 3, 2014 — Jack Chin will receive a whistleblower award of roughly $500,000 from the $3 million False Claims Act settlement resolving allegations Rite Aid Corporation offered illegal inducements to Medicare and Medicaid beneficiaries to transfer their prescriptions to Rite Aid pharmacies.  DOJ

December 1, 2014 — Maricopa County Community College District employee Christine Hunt will receive a whistleblower award of $775,827 from the $4 million False Claims Act settlement resolving allegations MCCCD submitted false claims to the Corporation for National and Community Service concerning AmeriCorps state and national grants.  DOJ 

December 1, 2014 — Konstantinos Gakis and Demetri Papageorgiou, former employees of Massachusetts-based medical device company North Atlantic Medical Services Inc. (d/b/a Regional Home Care Inc.) will receive a whistleblower award of $153,428 from the $852,378 False Claims Act settlement resolving to resolve allegations the company submitted claims to Medicare and Medicaid for respiratory therapy services provided by unlicensed personnel.  DOJ 

November 2014

November 12, 2014 — Toney Gonzales Home will receive an undisclosed whistleblower award from the $25 million False Claims Act settlement resolving allegations healthcare agency CareAll Management LLC overstated the severity of patients’ conditions to increase Medicare billings and billed for services not medically necessary and rendered to patients who were not homebound.  Whistleblower Insider

November 6, 2014 — Brian Sant, former employee of medical device maker Biotronik Inc., will receive a whistleblower award of $840,000 from the $4.9 million False Claims Act settlement resolving allegations Biotronik induced electrophysiologists and cardiologists to use Biotronik pacemakers, defibrillators and cardiac resynchronization therapy devices by paying them in the form of repeated meals at expensive restaurants and inflated payments for membership on a physician advisory board.  DOJ

October 2014

October 30, 2014 — Kathleen Hawkins, a former employee of San Francisco-based hospital system Dignity Health (formerly known as Catholic Healthcare West), will receive a whistleblower award of $6.25 million from the $37 million False Claims Act settlement resolving allegations that 13 of Dignity Health’s hospitals in California, Nevada and Arizona submitted false claims to Medicare and TRICARE by admitting patients for inpatient services who could have been treated on a less costly, outpatient basis.  DOJ

October 29, 2014 — Robert Hallstein and Earle Yerger will receive a whistleblower award of $180,000 from the $1 million False Claims Act settlement resolving allegations that North Florida Shipyards and its president Matt Self created a front company, Ind-Mar Services Inc., to improperly secure Coast Guard contracts that were designated for Service Disabled Veteran Owned Small Businesses.  DOJ

October 29, 2014 — Yu Yue, former product manager of medical device maker EBI LLC (d/b/a Biomet Spine and Bone Healing Technologies and Biomet Inc.), will receive an undisclosed whistleblower award from the $6 million False Claims Act settlement resolving allegations it paid kickbacks to induce use of its bone growth stimulators.  DOJ

October 22, 2014 — David Barbetts, former Senior Financial Analyst for DaVita Healthcare Partners, Inc., one of the leading providers of dialysis services in the US, will receive an undisclosed whistleblower award from the $400 million False Claims Act settlement resolving allegations DaVita paid kickbacks for patient referrals to its dialysis clinics.  Whistleblower Insider

October 21, 2014 — Lexington, Kentucky cardiologists Drs. Michael Jones, Paula Hollingsworth and Michael Rukavina will collectively receive a whistleblower award of $68,400 from the $380,000 False Claims Act settlement resolving allegations that Kentucky-based cardiologists Satyabrata Chatterjee and Ashwini Anand, who jointly owned cardiologist physician group Cumberland Clinic, entered into sham management agreements with Saint Joseph Hospital in exchange for the referral of cardiology procedures and other healthcare services to Saint Joseph.  DOJ 

October 17, 2014 — Three unidentified whistleblowers will receive an undisclosed award from the $2.6 million False Claims Act settlement resolving allegations that two groups of Houston-based diagnostics centers operating under the names One Step Diagnostic, Complete Imaging Solutions LLC (d/b/a Houston Diagnostics), Deerbrook Diagnostics & Imaging Center LLCElite Diagnostic Inc.Galleria MRI & Diagnostic LLCSpring Imaging Center Inc. and West Houston MRI & Diagnostics LLC, engaged in improper financial relationships with referring physicians in violation of the Stark Statute.  DOJ

October 10, 2014 — Clinton Craddock, Fred Van Shoubrouek, Anthony Rico and Fernando de la Garza, former and current employees of Boeing Company, will collectively receive a whistleblower award of $3.9 million from the $23 million False Claims Act settlement resolving allegations Boeing submitted false claims for labor charges on maintenance contracts with the US Air Force for the C-17 Globemaster aircraft.  DOJ

October 10, 2014 — Tracy Lovvron and Donald Gallick will receive whistleblower awards of more than $1.8 millionand $250,000, respectively, from the $38 million False Claims Act settlement resolving allegations that Extendicare Health Services Inc. billed Medicare and Medicaid for materially substandard nursing services and medically unreasonable and unnecessary rehabilitation therapy services.  DOJ

September 2014

September 26, 2014 — Donald Well, former employee of Caremark, the pharmacy benefit management company owned by CVS, will receive a whistleblower award of $1 million from the $6 million False Claims Act settlement resolving allegations that Caremark failed to reimburse Medicaid for prescription drug costs paid on behalf of Medicaid beneficiaries who also were eligible for drug benefits under Caremark-administered private health plans. DOJ

September 24, 2014 – Several former employees of Pennsylvania-based drug maker Shire Pharmaceuticals will receive a whistleblower award from the $56.5 million False Claims Act settlement resolving allegations Shire improperly marketed and promoted several drugs used to treat attention deficit hyperactivity disorder (ADHD) and ulcerative colitis.  Whistleblower Insider

July 2014

July 28, 2014 — DeSalle Bui, former sales representative of Minneapolis-based medical device maker Vascular Solutions Inc., will receive an undisclosed whistleblower award from the $520,000 False Claims Act settlement resolving allegations the company improperly marketed a medical device for the ablation (or sealing) of perforator veins without FDA approval.  DOJ

July 8, 2014 – Michael Angel, former employee of Virginia-based move management company RE/MAX Allegiance Relocation Services, will receive an undisclosed whistleblower award from the roughly half-million dollar False claims Act settlement resolving allegations that RE/MAX overbilled the government for transportation services.  Whistleblower Insider

June 2014

June 25, 2014 — Donald Gale, former employee of Omnicare Inc., the nation’s largest provider of pharmaceuticals and pharmacy services to nursing homes, will receive a whistleblower award of roughly $17M from the $124million settlement resolving allegations Omnicare violated the Anti-Kickback Statute and the False Claims Act by providing improper financial incentives to skilled nursing facilities in return for their continued selection of Omnicare to supply drugs to elderly Medicare and Medicaid patients.  Whistleblower Insider

May 2014

May 28, 2014 — Adolfo Schroeder, former employee of medical device manufacturer Medtronic Inc., will receive a whistleblower reward of approximately $1.73 million from the $9.9 million settlement resolving allegations Medtronic violated the False Claims Act by using various types of illegal kickbacks to induce physicians to use pacemakers and defibrillators made and sold by Medtronic.  DOJ

May 6, 2014 — Baptist Health System, the parent company for a network of affiliated hospitals and medical providers in the Jacksonville, Florida area, agreed to pay $2.5 million to settle allegations that its subsidiaries violated the False Claims Act by submitting claims to Medicare and Medicaid for medically unnecessary services and drugs.  The allegations were first raised in a qui tam lawsuit filed by former Baptist Health employee, Verchetta Wells, under the whistleblower provisions of the False Claims Act.  DOJ

April 2014

April 23, 2014 — Amedisys home health companies agreed to pay $150 million to resolve allegations they violated the False Claims Act by allegedly billing Medicare for nursing and therapy services not medically necessary or provided to patients who were not homebound, and by otherwise misrepresenting patients’ conditions to increase its Medicare payments.   The allegations were first raised in several qui tam lawsuit filed by former Amedisys employees under the whistleblower provisions of the False Claims Act.  They will collectively split a whistleblower award of more than $26 million.  DOJ

April 16, 2014 — CRC Health Corp., a nationwide provider of substance abuse and mental health treatment services, agreed to pay $9.25 million to settle allegations that CRC violated the False Claims Act by providing substandard treatment in its Tennessee facility to adult and adolescent Medicaid patients suffering from alcohol and drug addiction.  The allegations were first raised in a qui tam lawsuit filed by Angie Cederoth, a former billing clerk in the CRC facility, under the whistleblower provisions of the False Claims Act.  She will receive a whistleblower award of$1.5 million.  DOJ

April 16, 2014 — Drug manufacturer Astellas Pharma US agreed to pay $7.3 million to resolve allegations it violated the False Claims Act in connection with its marketing and promotion of the drug Mycamine for pediatric use when the drug did not have FDA approval for such use.  The allegations were first raised in a qui tam lawsuit filed by Frank Smith, a former Astellas sales representative, under the whistleblower provisions of the False Claims Act.  He will receive a whistleblower award of $708,852.  DOJ

April 14, 2014 – Hope Cancer Institute, a cancer treatment facility in Kansas, and its owner Dr. Raj Sadasivan, agreed to pay $2.9M to resolve allegations they violated the False Claims Act by submitting claims to Medicare, Medicaid and the Federal Employee Health Benefits Program for chemotherapy drugs and services not actually provided.  The allegations were first raised in a qui tam lawsuit filed by former employees of the facility Krisha Turner, Crystal Dercher and Amanda Reynolds under the whistleblower provisions of the False Claims Act.  DOJ

April 9, 2014 – Five California-based masonry subcontractors, Frazier Masonry, F-Y Inc., CTI Concrete & Masonry, Masonry Technology, and Masonry Works, agreed to pay nearly $1.9M to resolve allegations they violated the False Claims Act by misrepresenting their disadvantaged small business status in connection with military construction contracts.  The allegations were first raised in a qui tam lawsuit filed by Rickey Howard, a former employee of Frazier Masonry, under the whistleblower provisions of the False Claims Act.  Howard will receive a whistleblower award of $393,383.  DOJ

March 2014

March 21, 2014 – Utah-based Okland Construction Co. agreed to pay $928,000 to resolve allegations it made false statements and submitted false claims under the Small Business Administration’s Section 8(a) Program for Small and Disadvantaged Businesses.  The allegations were first raised in a qui tam lawsuit filed by Section 8(a) participant Saiz Construction Co. and its owner Abel Saiz under the whistleblower provisions of the False Claims Act.  They will receive a whistleblower award of $148,480.  DOJ

March 18, 2014 – American Family Care Inc., a network of walk-in medical clinics with offices in Alabama, Tennessee and Georgia, agreed to pay $1.2M to resolve allegations under the False Claims Act that it knowingly submitted claims to Medicare for outpatient office visits that were billed at a higher rate than was appropriate.  The settlement resolves a qui tam lawsuit filed by Anita C. Salters, a former employee of American Family Care under the whistleblower provision of the False Claims Act.  DOJ

March 11, 2014 – Florida-based hospital system Halifax Hospital Medical Center agreed to pay $85M to resolve allegations that they violated the False Claims Act and Stark Law by executing contracts with six medical oncologists that provided an incentive bonus that improperly included the value of prescription drugs and tests that the oncologists ordered and Halifax billed to Medicare.  The allegations were first raised in a qui tam lawsuit filed by Halifax Hospital employee Elin Baklid-Kunz under the whistleblower provisions of the False Claims Act.  She will receive a whistleblower award of $20.8 million.  DOJ

March 7, 2014 – Ocean shipping companies Sea Star Line and Horizon Lines agreed to pay $1.9M and $1.5M, respectively, to resolve allegations that they violated the False Claims Act by fixing the price of government cargo transportation contracts between the continental US and Puerto Rico, the Department of Justice announced today.  The allegations were first raised in a qui tam lawsuit filed by former Sea Star Line executive William B. Stallings under the whistleblower provisions of the False Claims Act.  He will receive a whistleblower award of $512,719.  DOJ