Whistleblower News From The Inside - December 19, 2014
By the C|C Whistleblower Lawyer Team
Second BofA Whistleblower To Get $56M – Whistleblower says he will receive the reward out of the $16.65B the bank agreed to pay to settle claims arising from the investigation into its mortgage lending for providing information to the government showing the bank deliberately used “improper appraisal practices” that overstated the value of the homes by $6.6 billion. NYT
Whistleblower Says Aircraft Parts Supplier Cut Corners on Safety – Complaint says Ameri-King ordered workers to scrub off “Made in China” labels and replace them with “Made in USA” labels, even though many of the parts imported from China and relabeled were found to be faulty and that the company sold repaired parts as new. Courthouse News
Japanese Activist Challenges Secrets Law with Whistleblower Tool — A Japanese Internet activist and academic is challenging a new state secrets law by setting up a website aimed at making it easier for government officials to leak sensitive information to the media using an open source platform called GlobaLeaks. Reuters
Former Rite Aid VP and Businessman Charged in $14.6M Fraud Scheme — The charges are based upon the pair’s alleged nine year conspiracy to defraud Rite Aid by making Rite Aid believe its surplus inventory had been sold to one company when, in fact, the inventory had been sold to third parties for greater amounts. DOJ
SEC Charges NY Firm of Targeting Seniors in Boiler Room Scheme — The SEC alleges that Premier Links, Inc., and its owners cold-called senior’s names from a list they maintained and using high-pressure sales tactics to convince them to invest in companies purportedly on the brink of conducting initial public offerings, but they never disclosed to the investors that only a small fraction of the money would be transmitted to the promoted companies while the rest went to Premier Link’s companies. SEC
Whistleblower Speaks on Successful NP Precision Case – Former administrative assistant for machinery defense contractor NP Precision Inc. speaks about her journey as a whistleblower from first blowing the whistle on the company’s misuse of funds to her former boss pleading guilty to fraud. Philadelphia Business Journal