Whistleblower News From The Inside -- September 14, 2015

By the C|C Whistleblower Lawyer Team

Whistleblower behind Afghanistan bid-rigging settlement – PAE Government Services and RM Asia agree to pay $1.45 million for allegations that former managers funneled subcontracts to other companies owned by them or their relatives, using confidential bid information to beat out honest competitors in vehicle maintenance and training contracts in war-torn Afghanistan.  DOJ and Law 360

Houston psychiatrist convicted in $158 million Medicare fraud scheme – Trial evidence showed that Medicare beneficiaries for whom a hospital submitted claims for partial hospitalization program (PHP) — an intensive outpatient treatment for severe mental illness — never received such services and rarely even saw a psychiatrist.  DOJ

AT&T practices to retain customers exposed by anonymous 17-year employee – “Retention representative” veteran accuses company of fostering culture where promised pricing promotions are never received, service is not disconnected as agreed, and third-party subscriptions or premium text messaging services (“cramming”) are never fulfilled.  RCR Wireless

New study shows correlation between heavy reliance on stock options for executive compensation and incidences of serious project recalls – Study authors theorize that option-laden executives might engage in riskier and aggressive choices in order to encourage rising share prices.  NYT