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Whistleblower News from the Inside - December 9, 2014

Posted  December 9, 2014

By the C|C Whistleblower Lawyer Team

FDA advisors corporate connections not disclosed — According to a Wall Street Journal report, “many doctors who sit on Food and Drug Administration panels reviewing medical devices have links to device makers undisclosed by the FDA.”  WSJ

U.S. Agency for International Development deputy inspector general retires in wake of whistleblower claims — Michael G. Carroll will retire at the end of the year after allegations by whistleblowers that his office improperly altered and removed negative findings from audit reports before releasing them to the public.  Washington Post

OtisMed Corp. pays more than $80M to settle False Claims Act, FDA Act and whistleblower charges — The payments settle criminal and civil allegations the company and its former CEO intentionally distributed knee replacement surgery cutting guides after the FDA rejected their application for marketing clearance.  DOJ

Supreme Foodservice to pay $434M to settle False Claims Act and whistleblower charges — The payments settle criminal and civil allegations the defense contractor overbilled the government for food and bottled water provided to American troops in Afghanistan.  Bloomberg

Noble Drilling pleads guilty to environmental crimes in Alaska — The company, which operated a drill ship off Alaska’s Arctic coast, agreed to plead guilty to  8 felony counts and pay $12.2M million in fines and community-service payments.  Seattle Times

Nursing assistant sentenced to 150 months in prison for $200M Medicare fraud scheme — In addition to the lengthy prison sentence, Rodolpho Santaya was also ordered to pay more than $18M in restitution for her role involving fraudulent billings by American Therapeutic Corporation, a mental health company headquartered in Miami.  DOJ