1. Home
  2. Practices
  3. Whistleblower Representation
  4. Recent Government Enforcement
  5. DOJ Enforcement Actions
Have a Claim?

Click here for a confidential contact or call:

1-212-350-2774 
								
			


								
						
			


								
			

	
Whistleblower Quiz

	
Would you blow the whistle?

 Take our Quiz


									
	
						

		

			
			

				

					
DOJ Enforcement Actions

					
The Department of Justice is the principal federal agency authorized to enforce the laws and defend the interests of the United States. As such, it oversees the enforcement of the False Claims Act, the foundation of the American whistleblower system, as well as numerous other laws.


The agency traces its origins to the Judiciary Act of 1789 which created the Office of the Attorney General, and the 1870 Act to Establish the Department of Justice, which established the agency as “an executive department of the government of the United States” with the Attorney General as its head.


The agency is comprised of numerous divisions with the Civil Division and in some instances, the Criminal Division, overseeing investigations and prosecutions under the False Claims Act. The U.S. Attorneys Office of the federal district where the False Claims Act case is filed also plays a key role in False Claims Act enforcement.


Below are summaries of recent DOJ settlements or successful resolutions under the False Claims Act as well as other successful prosecutions for fraud and misconduct. If you believe you have information about fraud which could give  rise to a claim for a whistleblower reward, please contact us to speak with one of our experienced whistleblower attorneys.

				

			

			
						
					
			

	
		
		

			

				
				
May 16, 2016

				 Mountain States Contractors, an affiliated company of Jones Brothers, agreed to pay $2.25 million 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.  The allegations originated in a whistleblower lawsuit by a former Mountain States employee under the qui tam provisions of the False Claims Act.  The whistleblower will receive a whistleblower award of $500,000 from the proceeds of the government’s recovery.  Whistleblower Insider				 					 

						
Tagged in:
													  FCA Federal, 
													  Set-Asides and Preferences, 
													  Whistleblower Case, 
													  Whistleblower Rewards, 
												
						

					
	
							
	
		
		
	


 			




	
		
		

			

				
				
May 13, 2016

				 Buffalo, New York-based M&T Bank Corp agreed to pay $64 million to settle charges it violated the False Claims Act by knowingly originating and underwriting mortgage loans insured by the Department of Housing and Urban Development’s (HUD) Federal Housing Administration (FHA) that did not meet applicable requirements.  Specifically, the government alleged that M&T Bank failed to comply with certain FHA origination, underwriting and quality control requirements.  DOJ				 					 

						
Tagged in:
													  FCA Federal, 
													  Financial Institution Fraud, 
													  Housing and Mortgage Fraud, 
												
						

					
	
							
	
		
		
	


 			




	
		
		

			

				
				
May 13, 2016

				 A permanent injunction was entered against Detroit-based Scotty’s Incorporated and its co-owner and manager Sandra J. Jackson to prevent the distribution of adulterated ready-to-eat sandwiches.  According to the government, Scotty’s, which does business as Bruce Enterprises and Bruce’s Fresh Products, distributes ready-to-eat sandwiches prepared, packed or held under insanitary conditions and in violation of the Federal Food, Drug and Cosmetic Act.  DOJ				 			
	
		
		
	


 			




	
		
		

			

				
				
May 12, 2016

				 Kentucky anesthesiologist Jaime Guerrero was sentenced to 100 months in prison for his role in the unlawful distribution of controlled substances, including the prescription opioid hydrocodone without a legitimate medical purpose.  Guerrero also agreed to pay $827,000 in victim restitution to nine health care benefit programs.  He also pleaded guilty to multiple counts of unlawful distribution or dispensing of controlled substances, health care fraud, conspiracy and money laundering.  DOJ				 					 

						
Tagged in:
													  Healthcare Fraud, 
												
						

					
	
							
	
		
		
	


 			




	
		
		

			

				
				
May 9, 2016

				 CA oncologist Dr. John F. Kiraly and his wife Rena Kiraly, who served as the doctor’s office administrator, have paid $300,000 to settle allegations that they violated the False Claims Act by improperly billing Medicare for certain chemotherapy drugs purchased from an unlicensed foreign pharmaceutical distributor.  Specifically, the Kiralys purchased chemotherapy drugs from Warwick Healthcare Solutions Inc., also known as Richards Pharma, a former United Kingdom-based drug distributer that distributed non-FDA approved drugs throughout the United States.  DOJ (EDCA)				 					 

						
Tagged in:
													  Drug Switching, 
													  FCA Federal, 
												
						

					
	
							
	
		
		
	


 			




	
		
		

			

				
				
May 6, 2016

				 Liberty Reserve founder Arthur Budovsky was sentenced to 20 years imprisonment and to pay a $500,000 fine for running a massive money laundering enterprise through his company's virtual currency once used by cybercriminals around the world to launder the proceeds of their illegal activity.  According to the indictment, Liberty Reserve billed itself as the Internet’s “largest payment processor and money transfer system” and allowed people all over the world to send and receive payments using virtual currency.  But Liberty Reserve grew into a financial hub for cybercriminals around the world, trafficking the criminal proceeds of Ponzi schemes, credit card trafficking, stolen identity information and computer hacking.  DOJ 				 					 

						
Tagged in:
													  Financial Institution Fraud, 
													  Ponzi Schemes, 
												
						

					
	
							
	
		
		
	


 			




	
		
		

			

				
				
May 6, 2016

				 England-based Hesco Bastion Limited agreed to pay $2.1 million to resolve allegations it violated the False Claims Act by overcharging the government on the international transportation of blast walls Hesco manufactured and sold to the U.S. government.  Hesco contracted with the Department of Defense to provide blast walls, also known as Concertainer Units, and to ship them from England to a U.S. military base in Germany.  According to the government, Hesco charged the government a fixed price of £650 per truckload, while paying its transportation subcontractor less than £650 per truckload, which the government contends violated the parties’ contracts.  The government further alleged that Hesco knowingly provided the government false information concerning the amount that Hesco had been paying to its transportation subcontractor and that Hesco misled the government by submitting 47 false invoices that were made to appear to be authentic invoices from the transportation subcontractor.  DOJ (EDPA)				 					 

						
Tagged in:
													  Defense Contract Fraud, 
													  FCA Federal, 
												
						

					
	
							
	
		
		
	


 			




	
		
		

			

				
				
May 6, 2016

				 The Trustees of the University of Pennsylvania, on behalf of its operating divisions, including the University of Pennsylvania Health System (UPHS), agreed to pay roughly $76,000 to settle charge of violating the False Claims for the alleged submission of false home health care billings to the Medicare program.  The allegations originated in a whistleblower lawsuit filed under the qui tam provisions of the False Claims Act.  DOJ (EDPA)				 					 

						
Tagged in:
													  FCA Federal, 
													  Home Health and Hospice, 
													  Medical Billing Fraud, 
													  Whistleblower Case, 
												
						

					
	
							
	
		
		
	


 			




	
		
		

			

				
				
May 5, 2016

				 The City of New York agreed to pay $4.3 million to settle charges of violating the False Claims Act through the New York City Fire Department's receipt of reimbursements for claims for emergency ambulance services that did not meet Medicare’s medical necessity requirement.  This matter was brought to the attention of the U.S. Attorney’s Office through a voluntary disclosure by the City.  DOJ (SDNY)				 					 

						
Tagged in:
													  FCA Federal, 
													  Lack of Medical Necessity, 
												
						

					
	
							
	
		
		
	


 			




	
		
		

			

				
				
May 5, 2016

				 Tennessee Valley Authority contractor Bartlett Holdings, Inc. (d.b.a. BHI Energy/Sun Technical Services) agreed to pay $2.8 million to settle charges of violating the False Claims Act by knowingly concealing or avoiding an obligation to refund overpayments received from TVA for work performed on the project to complete the construction of Watts Bar Nuclear Plant Unit 2.  According to the government, Bartlett received payments from TVA in excess of actual costs for payroll taxes and insurance and knowingly failed to timely identify, report and refund those overpayments to TVA as required under the subcontract.  DOJ (EDTN)				 					 

						
Tagged in:
													  FCA Federal, 
													  Government Procurement Fraud, 
												
						

					
	
							
	
		
		
	


 			


											

						

								

									
1
…
185
186
187
188
189
190
191
…
254
								

						

					

												
		
 
	
 

 



	


	

		

			

								
							
Learn about Whistleblower Rewards Programs
			
	
		

		
	
			

									

													False Claims Act					  							State & Local False Claims Acts					  							SEC Program					  							CFTC Program					  							IRS Program					  					

								See More			
	
		

	
		

	




	


	

		

			

				

					

						
Newsletter

						
Subscribe to receive email updates from the Constantine Cannon blogs

					
	
				
	
			
	
			
	
				
Sign up for: