Whistleblower Insider is written by the Constantine Cannon law firm team of experienced qui tam and whistleblower lawyers. It is updated regularly to provide the latest whistleblower and fraud news and developments.
Malta’s Ongoing Corruption Scandal Renews Focus on Money Laundering
The tragic murder of investigative journalist Daphne Caruana Galizia in 2017 sparked international outrage—and the fear that nothing would be done to discover who was behind her death. This turns out not to be the case. After years of persistence from her family and journalist community, Yorgen Fenech, a gambling, real estate, and energy mogul, was arrested on November 20 for complicity in her murder. He has...
Government Audit of Chronic Care Management Services Raises Serious Questions About Proposed Anti-Kickback Statute Safe Harbors
The U.S. Department of Health and Human Services is engaged in what it calls a “Regulatory Sprint to Coordinated Care,” in order to, in the words of HHS Deputy Secretary Eric Hargan, “update, reform, and cut back our regulations to allow innovation toward a more affordable, higher quality, value-based healthcare system.” On October 9, 2019, as part of this effort to “cut back” on regulations to advance...
CFTC Whistleblower Program Annual Report Shows Program Open for Business, yet Challenges Persist
Fifteen million dollars is how much the United States Commodity Futures Trading Commission’s (CFTC) Whistleblower Program paid whistleblowers in FY 2019 according to the agency’s annual report to Congress. This amount includes:
$7 million to one individual whistleblower;
Over $2 million to a non-insider whistleblower who provided independent analysis of market data; and,
Catch of the Week – B&H Photo Video Sued by NY State for Tax Fraud
This week’s Catch of the Week brings us back to the Big Apple, where New York Attorney General Letitia James joined a whistleblower lawsuit yesterday accusing the nation’s largest non-chain photo and video equipment retailer, B&H Photo Video, of tax fraud.
The suit claims that long-time camera and electronics retailer B&H, which had more than $3 billion in revenue last year, knowingly failed to pay over $7...
Second Circuit Upholds SEC Denial of Whistleblower Rewards to Three Claimants in Deutsche Bank Settlement
In May 2015, Deutsche Bankagreed to pay a $55 million penalty to the SEC to settle charges that its financial statements misreported the value of a portfolio of derivatives, failing to take account of the material risk of potential losses associated with the derivatives. Subsequently, in November 2017, the SEC announced that it had awarded whistleblower rewards totaling $16 million to two whistleblowers “whose...
In Second-Ever Enforcement Action of Its Kind, SEC Stands with Whistleblower Against Company’s Attempt to Muzzle Reporting
Imagine that, after you invest in a company, you start to smell a rat. After you try to alert other investors or report what you believe is a fraudulent scheme, the company you invested in draws up an agreement that conditions your shareholding on a prohibition on speaking with regulatory agencies. If it seems illegal, that’s because it is. Yet that’s exactly what online auction and memorabilia company Collectors...
Constantine Cannon partner Mary Inman, and Vigjilenca Abazi of Maastricht University, discuss the new European Union Whistleblower Directive with Adam Turteltaub in SCCE’s Compliance Perspectives podcast. Mary Inman explains the differences between U.S. whistleblower programs and the EU directive, as well as the opportunities presented to compliance personnel in light of new research on internal whistleblowing. ...
CATCH OF THE WEEK — Tenet Healthcare to Pay $66M Over Kickback Allegations
Tenet Healthcare, a healthcare giant that operates 65 hospitals and conducts over 10 million patient encounters annually, has agreed in principle to pay the United States roughly $66M to settle allegations that it violated the Stark Law and the Anti-Kickback Statute. These laws generally prohibit medical providers from paying or receiving kickbacks, remuneration, or anything of value in exchange for referrals of...
Constantine Cannon whistleblower attorneys Leah Judge and Hallie Noecker discuss why President Trump's attempt to intimidate whistleblowers is failing--and will continue to fail – in Law360 (paywall). Judge and Noecker posit that whistleblowers are cut from a different cloth. They value fairness over loyalty, and their consciences drive them to speak truth to power, even when doing so carries great personal...
Constantine Cannon Settles Whistleblower Case with Sharp Healthcare Center for Research
A whistleblower represented by Constantine Cannon, who exposed an alleged cycle of deceit at Sharp HealthCare, a regional hospital system in San Diego, has settled a False Claims Act lawsuit against the Sharp Healthcare Center for Research, Sharp’s clinical-trial research arm.
The whistleblower suit alleged that Sharp fraudulently billed government payers, like Medicare and Medicaid (known as Medi-Cal in...