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Whistleblower News From The Inside -- December 14, 2016

Posted  December 14, 2016

By the C|C Whistleblower Lawyer Team

East Texas laboratory company and owners settle FCA suit for $3.75 million – Elite Lab Services, LLC, and its husband-and-wife owners agreed to pay $3.75 million to settle allegations it illegally billed Medicare for, among other things, inflated mileage claims. A former employee who internally reported, resigned, and blew the whistle will receive 21% of the settlement. USAO Eastern District of Texas

Fifth Circuit dismisses reverse-FCA claim in DuPont chemical leak suit – A Fifth Circuit panel partially reversed the district court’s ruling denying DuPont summary judgment. The panel dismissed the ex-DuPont safety operator’s claim that DuPont failed to pay penalties the EPA could have assessed had DuPont reported its unlawful chemical leaks. Fifth Circuit Court of Appeals

SEC urges judge to reject Bio-Rad’s privilege position in ex-GC’s retaliation suit – The SEC filed an amicus brief urging the court to reject Bio-Rad’s position that “virtually every document” could be subject to attorney-client privilege in a retaliation suit brought by the company’s former general counsel. SEC Amicus Curiae Brief

Whistleblower retaliation suit implicates Prudential in Wells Fargo scandal – Multiple whistleblowers sued Prudential for retaliating against them for refusing to conceal Prudential’s connection to the Wells Fargo sham account scandal. New York Times

Physician sentenced to 40 months for defrauding Medicare – A Chicago-area doctor has been sentenced to 40 months in federal prison for submitting millions of dollars in false Medicare claims that inflated both the needs of the patient and the care provided. Chicago Tribune