Amgen Settlement May Be Near, $780 Million Anticipated

Amgen stated on Monday that it had reached an agreement in principle to settle both federal and state allegations of illegal marketing tactics.  The settlement is expected to resolve all criminal and civil allegations, including those brought by whistleblowers.  Amgen reserved $780 million for this settlement on Monday. According to Amgen, the suits pertain to…

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Department of Justice Intervenes in Whistleblower Case Against Sikorsky Aircraft Corp

The Department of Justice announced that it has intervened in a qui tam whistleblower case charging that the Sikorsky Aircraft Corporation and two of its subsidiaries violated the False Claims Act. The government’s complaint alleges that Sikorsky Aircraft Corporation approved an illegal cost-plus-a-percentage-of-cost subcontract between Sikorsky Support Services Inc., and Derco Aerospace. A cost-plus-a-percentage-of-cost contract…

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DaVita to Pay $400 Million to Resolve Kickback Allegations

The Department of Justice announced today that it settled a False Claims Act case against dialysis company DaVita Healthcare Partners: DaVita Healthcare Partners, Inc., one of the leading providers of dialysis services in the United States, has agreed to pay $350 million to resolve claims that it violated the False Claims Act by paying kickbacks…

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Science Applications International Corporation Agrees to Pay the US $1.5 Million to Resolve FCA Allegations of Organizational Conflicts of Interest

The Justice Department announced today that SAIC has agreed to pay $1.5 million to resolve an FCA lawsuit alleging that it knowingly engaged in prohibited conflicts of interest as a contractor for the U.S. Nuclear Regulatory Commission (NRC) between 1992 and 2000. The settlement comes after more than a decade of litigation. SAIC provides scientific,…

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FINRA: Settlements Cannot Restrict Ability to Talk to SEC, Other Regulators

FINRA, the Financial Industry Regulatory Authority, issued a Regulatory Notice reminding firms that they cannot use settlement agreements to restrict the ability of individuals to communicate with the SEC and other regulatory authorities regarding potential securities law violations. According to FINRA, such confidentiality provisions violate FINRA Rule 2010, Standards of Commercial Honor and Principles of…

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Supreme Court Declines to Weigh in on What Constitutes an Instrumentality under FCPA

The Supreme Court denied a petition for writ of certiorari that asked the court to restrict the application of the Foreign Corrupt Practice Act’s “instrumentality” provision.  Under the FCPA, companies or individuals can be liable for making payments to foreign officials, including those that work for an instrumentality of a foreign government.  The Department of Justice…

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IRS Announces 2015 Sequestration Award Reductions

Since sequestration first went into effect in 2013, the IRS has been operating under automatic budget reductions.  According to IRS Commissioner John Koskinen at a recent conference of whistleblower attorneys, the IRS is one of the few federal agencies that has not had their budget restored.  As a result of the continued budget cuts, the reductions…

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Government Collects $22.6 Million On Rigged Bid

Three defense contractors–Science Applications International Corp. (SAIC), Lockheed Corp. and former federal employee, Dale Galloway and his corporation Applied Enterprise Solutions–along with the former Director and Deputy Director of the Navy Oceanograph Office (NAVO) supercomputer center have agreed to pay the U.S. government $22.6 million to settle False Claims Act allegations against them.  The Department…

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SEC Awards Whistleblower $30 Million

The SEC announced an award of $30 million to a whistleblower whose report of securities violations led to a successful SEC action and related enforcement actions.  The award is the largest paid to date under the Dodd Frank whistleblower program established in 2010. According to the SEC, this is the fourth award issued to a…

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A Plus to Pay $1.65M for Sham-Job Kickbacks

A Florida healthcare company called A Plus Home Health Care Inc. and its owners have agreed to pay $1.65 million to settle False Claims Act allegations that the company induced referrals by hiring the spouses of referring physicians for sham jobs.  According to the government, A Plus hired the partners of physicians for sham “marketing”…

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