whistleblower attorney

Court Upholds Whistleblowers' $6.9M Share of $46M False Claims Settlement

Submitted by mma on March 22, 2013
March 15, 2013

Earlier this month, the U.S. Court of Appeals for the Eighth Circuit upheld the federal district court's decision that the two whistleblowers, or relators, in Rille et al v. Accenture, LLP et al, No. 11-2054 (8th Cir. 2013) were entitled to a 15% share of the federal government's $46 million False Claims Act settlement with Hewlett-Packard, amounting to a $6.9 million award to the whistleblowers.

The relators, Norman Rille and Neal Roberts, filed a <i>qui tam</i>, or whistleblower, action in 2004 against HP and other defendants on behalf of the United States, alleging that the defendants gave kickbacks to consultants in exchange for recommendations and engaged in pricing schemes that cost the federal government millions of dollars.

In 2006, the government intervened and filed its own complaint against HP and the other defendants, and eventually entered into a settlement in which the government received $55 million: $9 million from the kickback scheme and $46 million for the pricing scheme.  While the government conceded a share of the kickback settlement to the relators, it attributed the pricing settlement to its own investigation, and not the relators'.

The district court found in favor of the relators, writing that "the government had no knowledge of the defective pricing before Relators brought it to light."  The government appealed.  The Court of Appeals affirmed the district court's decision, upholding the whistleblowers' entitlement to 21% of the $9 million kickback settlement and 15% of the $46 pricing settlement.

The Chanler Group, in association with the Hirst Law Group, represents whistleblowers who take action under the False Claims Act to report fraud committed against the federal and state governments.  We have years of experience representing whistleblower clients who expose every kind of fraud against the government, including health care fraud, contract fraud, and tax fraud.  Read more about our expertise in False Claims Act cases and how you can take action.

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Hospice of Ariz to Pay $12M for Medicare Fraud; Whistleblower to get $1.8M

Submitted by mma on March 20, 2013
March 20, 2013

Hospice of Arizona, L.C., American Hospice Management LLC, and American Hospice Management Holdings LLC, have agreed to pay $12 million to resolve allegations that they violated the False Claims Act by knowingly defrauding Medicare, the Department of Justice announced today.

Hospice of Arizona and its related entities allegedly engaged in practices that resulted in the admission of ineligible patients, inflated medical bills, and delayed and discouraged staff from discharging patients no longer eligible for hospice care.  As part of the settlement, American Hospice Management Holdings has agreed to enter a corporate integrity agreement with the Inspector General of the Department of Health and Human Services that provides for procedures and reviews to be put in place to avoid and promptly detect similar misconduct.

Medicare hospice benefits are available to patients with a life expectancy of six months or fewer; these patients do not receive care intended to treat or stop their illnesses, and instead receive medical care focused on providing them with relief from the symptoms, pain, and stress of a terminal illness.

The allegations arose from a lawsuit filed by former Hospice of Arizona employee Ellen Momeyer, under the qui tam, or whistleblower, provisions of the False Claims Act.  The False Claims Act allows private citizens to bring suit on behalf of the United States and share in any recovery.  Momeyer will receive $1.8 million.

The Chanler Group, in association with the Hirst Law Group, represents whistleblowers who take action under the False Claims Act to report fraud committed against the federal and state governments.  We have years of experience representing whistleblower clients who expose every kind of fraud against the government, including health care fraud, contract fraud, and tax fraud.  Read more about our expertise in False Claims Act cases and how you can take action.

Source: 
http://www.justice.gov/opa/pr/2013/March/13-civ-326.html
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Brimer v. A&W Bottling Company, Inc., et al.

Submitted by dnowell on March 16, 2013
Date: 
October 23, 2007
Industry Categories: 
Decorated Glassware & Ceramicware
Decorated Soda Bottles
Featured: 
No

On October 23, 2007, the Alameda County Superior Court entered a Consent Judgment in Brimer v. A&W Bottling Company, Inc., which resolved citizen enforcer Russell Brimer’s allegations that the defendant A&W Bottling Company, Inc. (“A&W”) sold glass bottles with painted exterior decorations containing the heavy metal lead on the exterior in the State of California without providing the requisite health hazard warnings. 

Case PDF: 
application/pdf iconA&W.pdf
Plaintiff: 
Brimer
Defendant: 
A&W Bottling Company, Inc.
Type: 
Consent Judgment
Relief: 
Reformulation, Warnings
Monetary: 
$30,000-$39,999
Used By: 
Adult/Child Use
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Brimer v. 99 Cents Only Stores, et al.

Submitted by dnowell on March 16, 2013
Date: 
May 26, 2005
Industry Categories: 
Decorated Glassware & Ceramicware
Featured: 
No

Russell Brimer and 99 Cents Only Stores, et al. executed a Consent Judgment on May 26, 2005, which was later executed by the San Francisco County Superior Court in Brimer v. 99 Cents Only Stores, et al., resolving citizen enforcer Russell Brimer's allegations that the defendant 99 Cents Only Stores sold champagne goblets and other glass and ceramic beverageware products with colored artwork, designs or markings on the exterior surface containing lead and/or cadmium in the State of California without providing the requisite health hazard warnings.

Case PDF: 
application/pdf icon99 Cents Only Stores.pdf
Plaintiff: 
Brimer
Defendant: 
99 Cents Only Stores, Inc.
Type: 
Consent Judgment
Relief: 
Reformulation, Warnings
Monetary: 
$110,000-$119,999
Used By: 
Adult/Child Use
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Held v. 99 Cents Only Stores, et al.

Submitted by dnowell on March 16, 2013
Date: 
October 3, 2008
Industry Categories: 
Apparel & Fashion Accessories
Children's Apparel and Fashion Accessories
Children's Toys
Healthcare Products
Infant Products
Featured: 
No

On October 3, 2008, the Sacramento County Superior Court entered a Consent Judgment in Held v. 99 Cents Only Stores, which resolved citizen enforcer Anthony E. Held, Ph.D., P.E.'s allegations that the defendant 99 Cents Only Stores ("99") sold toys or other child care products containing the phthalate chemical di(2-ethylhexyl)phthalate ("DEHP") in the State of California without providing the requisite health hazard warnings.

Case PDF: 
application/pdf icon99Cents.pdf
Plaintiff: 
Held
Defendant: 
99 Cents Only Stores
Type: 
Consent Judgment
Relief: 
Reformulation, Product Recall
Monetary: 
$60,000-$69,999
Used By: 
Adult/Child Use
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Nursing Home Manager to Pay $2.7M for Medicare Fraud, $405K to Whistleblower

Submitted by mma on March 11, 2013
March 12, 2013

Tennessee-based Grace Healthcare LLC and its affiliate Grace Ancillary Services LLC (collectively, Grace) have agreed to pay $2.7 million to settle allegations that they knowingly submitted false claims to the Medicare and TennCare/Medicaid programs for unnecessary rehabilitation therapy, the Department of Justice announced last week.

The suit alleged that from 2007 to 2011, Grace pressured therapists in ten of its nursing homes to meet targets for Medicare revenue regardless of patients' individual therapy needs.  This resulted in patients being billed for large amounts of unnecessary rehabilitation and therapy, which were then paid for by Medicare.  As part of the settlement, Grace has agreed to procedures and reviews to be put in place in order to prevent future similar conduct.

The suit was originally filed by an unnamed former Grace employee under the qui tam, or whistleblower, provisions of the False Claims Act.  The False Claims Act allows private citizens to bring suit on behalf of the government and share in the recovery.  The whistleblower in this case will receive $405,000.  The Justice Department has recovered $10.2 billion in healthcare fraud cases since January 2009.  The Justice Department’s total recoveries in False Claims Act cases since January 2009 are over $14 billion.

The Chanler Group, in association with the Hirst Law Group, represents whistleblowers who take action under the False Claims Act to report fraud committed against the federal and state governments.  We have years of experience representing whistleblower clients who expose every kind of fraud against the government, including health care fraud, contract fraud, and tax fraud.  Read more about our expertise in False Claims Act cases and how you can take action.

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CHG, Parent to Pay $18.5M for Time Card Fraud, Guilty Whistleblower Gets Nothing

Submitted by mma on March 11, 2013
March 11, 2013

Colorado-based CH2M Hill Hanford Group (CHG) and its parent company CH2M Hill Companies Ltd. (CH2M Hill) admitted to criminal conduct when CHG engaged in years of widespread time card fraud  on the U.S. Department of Energy. Between 1999 and 2008, CH2M Hill had a federal contract to manage and clean 177 large underground storage tanks containing mixed radioactive and hazardous waste at the Department of Energy’s Hanford Nuclear Site in southeastern Washington. The Hanford Site was used for the production of nuclear weapons during World War II and the Cold War. CHG hourly employees involved in the cleanup routinely overstated the number of hours they worked,  and CHG management not only condoned the practice---submitting inflated claims to the Department of Energy that included the fraudulently claimed hours--but certain supervisors engaged in patterns designed to avoid the detection of the routine time card fraud by law enforcement and internal auditors.  So far, eight individuals have pleaded guilty to the fraud scheme and conspiracy.

CH2M Hill will pay $16.5 million to resolve its civil liability under the False Claims Act, refund an additional $1.95 million in wrongfully obtained profits, dedicate $500,000 to increasing accountability at the Hanford site, and pay for independent monitoring.  The allegations were originally brought under the qui tam, or whistleblower, provisions of the False Claims Act by Carl Schroeder, a former employee of CH2M Hill, and one of those to plead guilty to the scheme.  Under the False Claims Act, private citizens can sue on behalf of the United States and share in the recovery.   The act, however, bars whistleblowers from recovering if they were convicted based on their role in the scheme.  Thus, Schroeder will not receive any share of the recovery.

The Chanler Group, in association with the Hirst Law Group, represents whistleblowers who take action under the False Claims Act to report fraud committed against the federal and state governments.  We have years of experience representing whistleblower clients who expose every kind of fraud against the government, including health care fraud, contract fraud, and tax fraud.  Read more about our expertise in False Claims Act cases and how you can take action.

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Corning to Pay $5.65M for False Claims, Whistleblower to Get $904K

Submitted by mma on March 9, 2013
March 9, 2013

New York-based Corning Incorporated has agreed to pay $5.65 million to the U.S. government to resolve allegations that it knowingly presented false claims for laboratory research products it sold to federal agencies through its Life Sciences division.

In 2005, Corning entered a contract to sell laboratory research products to the federal government through a program that provided authorized purchasers with a streamlined procurement process for commonly used goods and services.  The suit alleged that Corning knowingly failed to fulfill its contractual obligation to provide the program with information about its discounts to other customers and made false statements about its sales practices, leading to the government receiving lower discounts and paying more for Corning products than it should have.

The suit was brought under the qui tam, or whistleblower, provisions of the False Claims Act, which allows private citizens to bring suit for false claims on behalf of the government and share in the recovery.  Kevin Jones, a former Corning Life Sciences sales representative, will receive $904,000 as his share of the settlement.

The Chanler Group, in association with the Hirst Law Group, represents whistleblowers who take action under the False Claims Act to report fraud committed against the federal and state governments.  We have years of experience representing whistleblower clients who expose every kind of fraud against the government, including health care fraud, contract fraud, and tax fraud.  Read more about our expertise in False Claims Act cases and how you can take action.

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Illinois Nursing Home to Pay $29 Million Penalty for False Claims Act Violations

Submitted by mma on March 8, 2013
February 11, 2013

A jury ordered a nursing home in Illinois to pay a total of $29 million in penalties for false Medicare claims to the government.  Two former employees at the facility filed a complaint that the home allegedly destroyed and/or forged records to make it appear that residents were receiving appropriate care and medications, while residents allegedly went without food or medication, developed bedsores and scabies, and were left to lie in their own waste.  The jury found that the government suffered losses of over $3 million due to the submission of over 1,700 false Medicare claims and awarded the maximum penalty of $11,000 for each false claim.  The two whistleblowers received $400,000.

The Chanler Group, in association with the Hirst Law Group, represents whistleblowers who take action under the False Claims Act to report fraud committed against the federal and state governments.  We have years of experience representing whistleblower clients who uncover fraud of every kind perpetrated against our government, including health care fraud, contract fraud, and tax fraud.  Read more about our expertise in False Claims Act cases and how you can take action.

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CIA Contractors to Pay $3M Settlement, Whistleblower to Get $585K

Submitted by mma on March 8, 2013
March 8, 2013

American Systems Corporation, Anixter International Inc., and Corning Cable Systems LLC have agreed to pay the U.S. government $3 million to settle allegations that they violated the False Claims Act and the Anti-Kickback Act while bidding on a contract with the CIA, the U.S. Justice Department announced today.  The United States alleged that the three companies provided CIA employees and outside consultants with meals, entertainment, sporting tickets, and other gifts and gratuities while bidding on a contract to provide the CIA with supplies and services.

Anixter sales representative William Jones first initiated the lawsuit under the qui tam, or whistleblower, provisions of the federal False Claims Act.  The False Claims Act allows private citizens with knowledge of fraud or false claims to sue on behalf of the government and share up to 30% of the recovery obtained by the government.  Jones will receive $585,000 as his share in this settlement.

The Chanler Group, in association with the Hirst Law Group, represents whistleblowers who take action under the False Claims Act to report fraud committed against the federal and state governments.  We have years of experience representing whistleblower clients who expose every kind of fraud perpetrated against the government including health care fraud, contract fraud, and tax fraud.  Read more about our expertise in False Claims Act cases and how you can take action.

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