POGO Reveals Possible “Unholy Alliance” Between ADS, Inc. and the Pentagon
As small businesses throughout the United States struggle to survive the economic devastation caused by the COVID-19 pandemic, one company claiming to be a small business but with hundreds of employees and more than $3 billion in annual sales, as well as a long history of fraud allegations and settlements, continues to reap huge rewards from government contracts. The company—Atlantic Diving Supply, Inc. (ADS)—is...
A Better Approach for Encouraging Would-Be Whistleblowers to Stand Up and Be Heard
There is a clear recognition these days that whistleblowers play a critical role in rooting out fraud and misconduct. That is why Congress has passed an ever-increasing array of legislation aimed at protecting and rewarding whistleblowers.
There is the False Claims Act, which rewards and protects whistleblowers who report fraud against the federal government. A majority of states have passed analogous state...
Tax fraud and tax evasion, unfortunately, continued apace last year. Yet even in the face of waning tax resources, enforcement authorities chalked up some key wins in 2020.
Criminal recoveries tend to dominate the headlines because many of the biggest tax recoveries are not public: the IRS scrupulously protects taxpayer privacy, and no announcements are made for civil tax recoveries. Thus only those that result...
2020 was another strong year for whistleblowers, who once again collectively recovered billions of dollars for the government and hundreds of millions of dollars in whistleblower rewards through their filing of lawsuits under the qui tam provisions of the False Claims Act. Whistleblowers this past year also continued to secure financial rewards under the Dodd-Frank SEC Whistleblower and CFTC Whistleblower programs,...
D.C. Council Passes Amendment that Expands D.C. False Claims Act to Cover Tax Fraud
The D.C. Council has passed, by veto-proof majority, an amendment to its False Claims Act that expands the scope of the Act to cover tax fraud claims. The amended D.C. FCA will cover tax fraud claims against people and entities that file taxes in D.C., report at least $1 million in income, and understate their tax liability or seek a tax refund resulting in damages of $350,000 or more. D.C. joins New York and Guam,...
Top Ten State Healthcare and Financial Fraud Recoveries of 2020
State and local governments are on the front lines of enforcing anti-fraud laws and play a critical role in ensuring that businesses and individuals are held accountable. Whistleblowers with information about corporate misconduct involving healthcare, government procurement, financial regulation, and tax may find that state proceedings offer them the best option.
More than 30 states have False Claims Acts that...
State False Claims Acts: A Key Tool in the Fight against COVID Frauds
We all remember the early days of the pandemic when coordination at the Federal level was lacking and states were left to their own devices. States reacted in a variety of ways to fight this public health catastrophe, they created subnational coalitions, struck their own deals for secret mask shipments from China, and conducted their own foreign policy to buy tests from South Korea.
Things were chaotic and, and as...
Whistleblower Rewards: Choose a Whistleblower Lawyer with a Record of Success for Top Whistleblower Awards
How should a whistleblower pick a law firm? As we have written, choosing a lawyer is one of the most important decisions a whistleblower makes, and whistleblowers should look at factors like the law firm’s experience and track record. For whistleblowers, this post discusses one very important aspect of that experience and track record – the firm’s experience with the whistleblower reward determination...
Call to Albany: Time to reward insurance fraud whistleblowers
(Published in Times Union)
Here is an idea for Albany. It would significantly strengthen the State's efforts to combat fraud, inject the State with tens of millions of dollars a year in added revenue, and most importantly, better protect the health and welfare of all New Yorkers. All it would entail is expanding New York's whistleblower rewards regime to include individuals exposing insurance fraud.
Proposed Changes to NY FCA Tax Provisions Rattle Potential Tax Fraudsters
New York is one of several states that has provisions in its state False Claims Act (“NY FCA”) allowing whistleblower (or qui tam) suits for violations of the state’s tax laws. On August 3, 2020 (Senate) and October 7, 2020 (Assembly), the New York state legislature, introduced bills proposing revisions to the NY FCA’s tax provisions.