Defense Contractor Pays $4 Million in Overbilled Service Hours

A U.S. defense contractor will pay the government $4 million to settle claims that it over billed for hours worked on maintaining helicopters in Iraq. The qui tam lawsuit was filed on behalf of a former employee who will receive a portion of the settlement, according to provisions of the False Claims Act. The company,…

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ACLU Challenges Whistleblower Law

The American Civil Liberties Union is challenging the constitutionality of a law that requires whistleblowers to file their lawsuits in secret when alleging war profiteering or other contract fraud.  The ACLU say the requirement violates the freedom-of-speech protections and are keeping war fraud complaints hidden from public scrutiny. The lawsuit alleges the Justice Department has…

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DOJ Settles $15.5 Million Qui Tam Lawsuit with Advertising Agency

A Chicago advertising firm agreed to pay the U.S. $15.5 million to settle a qui tam lawsuit alleging the company “improperly” billed the government for work on the “Army of One” Web site and recruitment advertising. The Leo Burnett Company will make a cash payment and resolve the remaining balance in work performed but not…

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Massachusetts Takes on 13 Pharma Companies in Alledged False Claims Suits

Massachusetts is taking a stand against pharmaceutical companies inflating prescription prices. Thirteen drug manufacturers are being sued by the state under allegations of falsely inflating prices they reported to national pharmaceutical price-reporting services. Teva Pharmaceuticals, one of the thirteen, has paid $7 million to settle the False Claims Act case brought against them. The company…

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7 NY Hospitals Accused of Operating $50 million Medicaid Scam

Seven New York hospitals are accused of operating a $50 million Medicaid scam by making false claims for ‘patients’ going through drug-treatment programs. Some of the patients were not actual addicts and the hospitals are being accused of luring street people in with cigarettes and beer. One of the hospitals, Our Lady of Mercy entered…

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