As COVID-19 Stimulus Funds Flow, DOJ Puts Fraudsters on Notice and Calls Whistleblowers “Essential”
Posted 04/2/21
On March 11th, President Biden signed The American Rescue Plan Act of 2021 (ARPA), a sweeping economic stimulus plan that will pump $1.9 trillion into the US economy. In addition to direct relief to Americans, ARPA includes record-setting government spending in numerous areas to speed recovery from the economic and health effects of the COVID-19 pandemic and the ongoing recession.
As we have previously written,...
Whistleblower Champion Chuck Grassley Pushes for Further Strengthening of False Claims Act (Again)
Posted 03/26/21
Senator Chuck Grassley (R-Iowa) already is celebrated as the modern-day champion of the False Claims Act. This is the government's main fraud-fighting tool, which empowers whistleblowers to act as private attorneys general and sue on the government's behalf over fraud in government contracts and programs. In successful cases, it rewards these whistleblowers with between 15% and 30% of the government's...
Corruption in humanitarian relief and development programs: How to report USAID fraud
Posted 03/25/21
Late last week, the Department of Justice announced that the International Rescue Committee had agreed to pay $6.9 million to settle allegations that it had participated in a scheme to rig contract bids and then passed on inflated costs to the United States Agency for International Development (USAID). IRC, a New York-based humanitarian relief organization, received funding from USAID to provide humanitarian...
The False Claims Act: It Benefits More than Just the Government
Posted 03/5/21
The False Claims Act, a Civil War-era law, encourages private individuals, such as whistleblowers, to come forward and file suit against unscrupulous government contractors, and share in the government's recovery. The passage of the law was inspired by contractors selling the Union Army bags of sand as flour, lame mules as cavalry horses, and glued-together rags as uniforms.
The main purpose of the law is, of...
DOJ Previews False Claims Act Enforcement Priorities for 2021
Posted 03/5/21
The False Claims Act is the federal government's primary enforcement tool to combat fraud against the public. Every year the government recovers billions of dollars under the statute, primarily with the help of whistleblowers. Under the so-called qui tam provisions of the act, whistleblowers are authorized to act as private attorneys general and bring lawsuits on behalf of the government and recover a portion of...
Arizona Software Glitch Keeps Prisoners Incarcerated, Until the Whistleblowers Showed Up
Posted 03/5/21
In a story straight out of a dystopian novel, a faulty computer system has kept Arizona prisoners locked up beyond their release date. A government contractor, Business & Decision, North America, built a system that is supposed to calculate each person’s release date. In exchange, the contractor received $24 million from the state. The system, however, didn’t work, leaving hundreds of people behind bars who...
POGO Reveals Possible “Unholy Alliance” Between ADS, Inc. and the Pentagon
Posted 02/26/21
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...
Constantine Cannon continues its commitment to ending abuses in private detention facilities
Posted 02/17/21
This week, Constantine Cannon is proud to continue its representation as pro bono counsel to Immigrant Legal Resource Center, Human Rights Watch, and Freedom for Immigrants in supporting California’s efforts to end the use of private immigration detention facilities in the state. Last spring, we filed a “friend of the court” brief for these same organizations in the district court in opposition to the Geo...