The Lexington County Health Services District (“Lexington Medical Center” or “LMC”) located in West Columbia, South Carolina, has agreed to pay $17 million dollars to resolve allegations that it violated the Physician Self-Referral Law (the “Stark Law”) and the False Claims Act (“FCA”) by maintaining improper financial arrangements with 28…
Whistleblower Attorneys Blog
Supreme Court Holds Secrecy Violation Does Not Warrant Dismissal of Compliant
A long awaited Supreme Court decision that held major implications for False Claims Act litigants was handed down this week. On Tuesday, the United States Supreme Court upheld a jury verdict that found State Farm Insurance Company (“State Farm”) defrauded a federal flood insurance program to avoid paying a homeowner’s…
Greene LLP Wins “Escobar” in First Circuit After Success in U.S. Supreme Court
Greene LLP secured another win for its clients in the U.S. Court of Appeals for the First Circuit in the firm’s seminal False Claims Act case, U.S. ex rel. Escobar v. Universal Health Services. The First Circuit’s decision will allow Greene LLP’s clients to continue pursuing fraud claims against the…
Two Whistleblowers Awarded $2.86 Million for Information on DoD Shipping Fraud
Two whistleblowers brought fraud allegations against shippers of military freight and helped the U.S. Government recover $13 million in a False Claims Act settlement announced this month. The case involved a nationwide contract described by Transport Topics Newspaper as “the largest logistics outsourcing in history.” Richard Ricks, 58, and Marcelo Cuellar, 30, filed a complaint under…
Whistleblowers: Be Wary of Employment Sepration Agreements
The Second Circuit Court of Appeals recently limited the enforceability of employment separation agreements that seek to ban would-be whistleblowers from filing claims against their former employers. In U.S. ex rel. Ladas v. Exelis, Inc, et al., the Court held that broad lawsuit release provisions in employment separation agreements, which…
Federal Judge to Decide Fate of False Claims Act Suit Against Cyclist Lance Armstrong
A federal judge will decide the fate of a “whistleblower’s” and the United States Postal Service’s (“USPS”) lawsuit against cyclist Lance Armstrong and his now defunct racing company, Tailwind Sports. The False Claims Act (“FCA”) lawsuit, originally filed by Armstrong’s former teammate, Floyd Landis, alleges that Tailwind Sports and Armstrong…
California Beauty School Pays-out $8 Million Dollars to Settle FCA Suit, Closes
B&H Education, the operator of a chain of beauty and massage schools known as the “Marinello School of Beauty,” which are located in the state of California, paid over $8 million dollars to settle a False Claims Act (“FCA”) lawsuit brought by employees-turned-whistleblowers. The False Claims Act, originally enacted in…
Spine Device Manufacturer Settles False Claims Act Lawsuit for $585,000
Paradigm Spine, a medical device manufacturer, has agreed to pay the United States $585,000 to resolve allegations under the False Claims Act. A former employee of the company turned whistleblower to alert the government of the fraud. Under the settlement agreement announced last week, the company stipulates that it caused…
Georgia-based Anesthesia Provider “Sweet Dreams” Awakened with $1.1 Million Dollar False Claims Act Settlement
The U.S. Department of Justice announced a False Claims Act (“FCA”) settlement this week with Alpharetta, Georgia-based anesthesiology provider “Sweet Dreams Nurse Anesthesiology” for $1.1 million dollars. The company has agreed to pay the government to resolve allegations that it submitted false claims to Medicare and Georgia’s state-run healthcare program.…
DOJ files False Claims Act suit against DynCorp for Iraq-war overcharges
The United States Department of Justice filed a False Claims Act (“FCA”) complaint against DynCorp, International alleging that the company overcharged the federal government to train Iraqi police forces. DynCorp, which is headquartered in McLean, Virginia, is a large logistics, transportation, and military-services subcontractor and is used extensively by the U.S.…