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Whistleblower Rewards

This archive displays posts tagged as including whistleblower rewards. You may also be interested in the following pages:

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DOJ Catch Of The Week -- Nashville Pharmacy Services

Posted  01/8/16
By the C|C Whistleblower Lawyer Team This week's Department of Justice "Catch of the Week" goes to Nashville Pharmacy Services, LLC, and its majority owner Kevin Hartman.  On Tuesday, Mr. Hartman and his Nashville-based pharmacy that specializes in dispensing HIV and AIDS-related medications agreed to pay up to $7.8 million to settle charges they overbilled Medicare and TennCare for pharmacy services.  Click here...

Top-10 Whistleblower Successes For 2015

Posted  01/5/16
By the C|C Whistleblower Lawyer Team Here is our look-back at the top-10 whistleblower successes under the False Claims Act for 2015 (based on amounts recovered).

10.  COMMUNITY HEALTH SYSTEMS -- Robert Baker, former revenue manager of Tennessee-based Community Health Systems Professional Services Corporation, received a whistleblower reward of roughly $18.7 million from the $75 million False Claims Act...

A Big Friday for Whistleblowers

Posted  12/21/15
By the C|C Whistleblower Lawyer Team In what might be a first of its kind for whistleblowers and the government, this past Friday there were four significant government fraud recoveries all initiated by whistleblowers. In the midst of what is certainly an ever-expanding parade of whistleblower-prompted fraud settlements by the government, this may be the only time four major settlements were announced in a single...

December 18, 2015

Thirty-two hospitals in 15 states agreed to pay more than $28 million 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.  The government has now reached settlements with more than 130 hospitals totaling approximately $105 million to resolve allegations of overcharging Medicare for kyphoplasty procedures.  The 15 current settling hospitals include: The Cleveland Clinic (Ohio); Citrus Memorial Health System (Florida); Cullman Regional Medical Center (Alabama); Martin Memorial Medical Center (Florida); MultiCare Tacoma General Hospital (Washington); Norwalk Hospital (Connecticut); Princeton Community Hospital Association (West Virginia); Sacred Heart Medical Center (Washington); Sarasota Memorial Hospital (Florida); Spartanburg Regional Health Services District Inc. (South Carolina); St. Cloud Hospital (Minnesota); Tampa General Hospital (Florida); 5 hospitals affiliated with Community Health Systems Inc. (Tennessee); 5 hospitals affiliated with Tenet Health Care Corporation (Texas); 5 hospitals formerly owned and operated by Health Management Associates (Florida); 3 hospitals affiliated with BayCare Health System (Florida); and 2 hospitals affiliated with Banner Health (Arizona).  In addition, the government previously settled with Medtronic Spine LLC, the corporate successor to Kyphon Inc., for $75 million to settle allegations the company caused false claims to be submitted to Medicare by counseling hospital providers to perform kyphoplasty procedures as inpatient rather than outpatient procedures.  All but 3 of the current settlements originated in a whistleblower lawsuit filed by Craig Patrick, a former Kyphon reimbursement manager, and Charles Bates, a former Kyphon sales manager for Kyphon.  They will receive a whistleblower award of roughly $4.75 million from the proceeds of the government’s recovery.  DOJ

Yes, we need whistleblower rewards

Posted  12/3/15
By Gordon Schnell (published in The FCPA Blog) Congress could not have been any clearer in its statutory design. Nor the SEC any more outspoken in its revitalized approach to government enforcement. Whistleblower rewards work. Even more, they are an indispensable component of the modern regulatory scheme. This is borne out in the unmistakable success of the Dodd-Frank and False Claims Act (FCA) whistleblower...

Education Management Corp. - For-profit college student recruitment violations ($80 million)

Education Management Corporation (EDMC), a Pittsburgh-based operator of for-profit educational institutions, agreed to pay more than $80 million to settle a False Claims Act lawsuit brought by a whistleblower represented by attorneys at Constantine Cannon.   The settlement was the largest settlement to date in an FCA suit involving the U.S. Department of Education.  The whistleblowers, Lynntoya Washington and Michael T. Mahoney, provided extensive evidence that EDMC had for years paid its recruiters incentive compensation based upon how many students they enrolled, regardless of whether the students were suitable candidates, while steadily concealing its illegal practices with repeated false statements to state and federal authorities. Read more here and from the DOJ.

October 21, 2015

United Parcel Service has agreed to pay $4 million to resolve allegations that the company violated the false claims acts of 14 states, New York City, Washington D.C., and Chicago.  Under contracts at issue between UPS and the government, UPS guaranteed delivery of packages by certain specified times the following day. The investigation began after a UPS employee filed a federal whistleblower lawsuit in Virginia alleging that a practice of falsifying package arrival times and logging in phony reasons for late arrivals went on company-wide. The UPS employee alleged that, in some cases, bogus exception codes excusing late deliveries were entered into the tracking system before UPS drivers had even arrived at locations where cumbersome security procedures and other delays had purportedly occurred. The state settlement follows an earlier $25 million settlement with the federal governmentNJ; NY

CFTC Announces Second Whistleblower Award

Posted  10/1/15
By the C|C Whistleblower Lawyer Team The CFTC announced its second ever whistleblower award yesterday under the agency's Dodd-Frank whistleblower program.  The anonymous whistleblower will receive roughly $290,000 for reporting information about violations of the Commodity Exchange Act that led to an  enforcement action.  This award follows nearly a year and a half after the CFTC announced its first...

August 24, 2015

The New York Attorney General announced settlement agreements with five defendants in a False Claims Act case that will return more than $8 million to the Medicaid and Medicare programs. The agreements resolve claims that SpecialCare Hospital Management Corporation defrauded Medicaid and Medicare by illegally referring patients to unlicensed drug and alcohol treatment programs in exchange for kickbacks. Investigation of the defendants began after whistleblowers Mathew I. Gelfand, M.D. and Enrico Montaperto filed complaints under New York’s False Claims Act. NY
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