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Consumer Fraud 1412 articles

Investment and securities fraud is one area of consumer fraud litigation pursued by the attorneys at Beasley Allen. Litigation includes individual cases as well as class actions that have been filed throughout the country. Cases in this area also involve matters including wrongful conduct of insurance and finance companies including fraud and bad faith, mortgage loan fraud, general consumer fraud and employment issues. Pending cases include securities and investment fraud litigation against companies including Stanford Securities and Regions Morgan Keegan, among others.

Our firm also is representing people who have been taken advantage of in the workplace, through violations of the Fair Labor Standards Act (FLSA). In these cases, employers intentionally misclassify employees as independent contractors or managers in order to reduce costs such as overtime compensation, employee benefits, payroll taxes, unemployment compensation and workers compensation.

Nevada Cardiologist Pleads Guilty to Opioid Prescription Fraud

A Nevada cardiologist charged with widespread opioid and health care fraud pleaded guilty on Nov. 26 to one charge of illegal distribution of a controlled substance, federal authorities announced. Dr. Devendra Patel, 59, was the first physician in the state to face criminal drug distribution charges under a federal push to clamp down on opioid “pill mill” clinics and the doctors who run them. The government has stepped up efforts to beat back the rising tide of opioid addiction and death, which former U.S. Attorney General Jeff Sessions called the “worst drug crisis in American history.” Dr. Patel, who ran ... Read More

Whistleblower Sues Oregon DMV, Alleging Retaliation Over Sexual Harassment Complaints

A Salem, Oregon woman has filed a whistleblower complaint against the Oregon Department of Motor Vehicles, accusing the agency of retaliating against her for reporting sexual harassment in the workplace. The whistleblower complaint was filed in Marion County Circuit Court Nov. 8 by a woman who worked for the Oregon DMV as a document specialist. The plaintiff’s position was a temporary one, but she was interviewing last year for a permanent position as office specialist within the DMV. It was on Dec. 8, after her second interview, that she says her troubles at the DMV began. According to the Salem ... Read More

Jury Awards LAFD Whistleblower $2.75 Million in Retaliation Case

A Los Angeles Fire Department whistleblower who allegedly faced severe backlash after speaking out against waste and fraud within his station has been awarded $2.75 million by a Los Angeles Superior Court jury. Stephen Meiche, who joined the Los Angeles Fire Department in 1980, said his LAFD colleagues ostracized him and subjected him to differential treatment that diminished not just his peace of mind but threatened his safety, NBC News Los Angeles reported. Mr. Meiche, a certified diver and diver instructor for the LAFD said his troubles started in March 2014 after he complained that members of the dive team ... Read More

Duke University Close To Settling Whistleblower Case

Duke University is nearing a settlement with the U.S. government that would resolve a False Claims Act lawsuit alleging the Durham, North Carolina university received nearly $200 million in federal grants with applications and reports that included fake data. The settlement, which is expected to be disclosed in December, would bring to an end a lawsuit filed in 2015 by whistleblower Joseph Thomas, a former Duke biologist. Mr. Thomas sued Duke on behalf of the U.S. government, alleging that Duke biologist Erin Potts-Kant faked lab data that found its way into multiple other studies and papers, which provided the basis ... Read More

Whistleblower Helps Recover $5.1 Million In Medicaid Funds From Indiana Dental Chain

A whistleblower who sued an Indiana-based dental chain and its Kansas-based management company has helped the U.S. and Indiana recover $5.1 million in Medicaid funds. The whistleblower lawsuit named ImmediaDent of Indianapolis and Samson Dental Partners, LLC, which provided administrative services to the dental chain, as defendants. The complaint alleged that the companies submitted false claims to Medicaid by improperly billing tooth extractions as more costly surgical extractions, the U.S. Attorney’s Office for the Western District of Kentucky said in an announcement of the settlement. The whistleblower’s complaint also accused ImmediaDent and Samson of billing Medicaid for “deep cleanings” that ... Read More

Northrop Grumman Pays $31.65M To Settle Air Force Contract Fraud Allegations

A Northrop Grumman subsidiary will pay the U.S. a total of $31.65 million to settle civil and criminal allegations that it intentionally overbilled the federal government for work on two U.S. Air Force contracts for battlefield communications technology. Northrop Grumman Systems Corporation admitted that its employees deployed to a Middle East air base defrauded the U.S. Air Force by overbilling time charged to the Battlefield Airborne Communications Node (BACN) contract. The Virginia-based company, which maintains operations in Los Angeles and San Diego, also inflated labor hours for employees working under the Dynamic Re-tasking Capabilities Contracts, according to the U.S. Attorney’s ... Read More

Hospice Whistleblowers Ask Appeals Court to Hear Medicare Fraud Case

A group of whistleblowers is asking the Third Circuit Court of Appeals to revive their False Claims Act lawsuit accusing a New Jersey hospice provider of falsifying patient records to make them appear eligible for end-of-life care. Four former employees of Care Alternatives Inc. of Cranford, New Jersey, now known as Ascend Hospice, filed the whistleblower lawsuit in 2008, alleging the company pressured them and others to alter patients’ medical records to satisfy Medicare’s criteria for hospice eligibility. The whistleblowers claimed that the company rewarded employees who complied with the alleged activity with bonuses. Several False Claims Act lawsuits have ... Read More

Whistleblower Helps U.S. Recover $13.2 Million With Mortgage Fraud Case

A whistleblower has helped the U.S. government recover $13.2 million from Universal American Mortgage, a subsidiary of Lennar Homes that does business as Eagle Home Mortgage, in a settlement resolving allegations of mortgage fraud. The settlement with Eagle Home is the latest in a long series of mortgage fraud cases that the U.S. has litigated since the subprime mortgage crisis that helped plunge the U.S. into a deep recession. As with the other cases, many of which were initiated by a whistleblower action, the Eagle Home settlement resolves allegations that it falsely certified the mortgages it underwrote complied with Federal ... Read More

Whistleblower Suit Against Abbott, AbbVie Recovers $25 Million For U.S. Taxpayers

Abbott Laboratories and AbbVie Inc. have agreed to pay more than $25 million to settle a long-standing whistleblower lawsuit claiming the drug companies illegally promoted the triglyceride drug TriCor for off-label purposes and provided doctors and other prescribers with unlawful kickbacks to boost sales. Amy Bergman, a former Abbott sales representative, filed the lawsuit under the whistleblower provisions of the False Claims Act in 2009. The U.S. Department of Justice declined to intervene in the case, but it moved ahead without the government’s direct involvement, surviving attempts by Abbott and AbbVie to have the case thrown out. According to the ... Read More

Whistleblowers Say United Airlines Retaliated For Calling Out Listeria Problems

United Airlines systematically failed to fix food safety problems at its Newark Liberty International Airport facilities, exposing passengers to dangerous Listeria contamination, three former high-level United food-service managers claim in separate lawsuits. The whistleblowers also claim that efforts to warn United about food-safety violations and their refusal to participate in unlawful practices resulted in retaliation. United Airlines’ Newark catering operation – the largest of its five in-house food service operations – supplies 45,000 meals a day for domestic and foreign flights. The lawsuits were filed by Eliot Mosby, General Manager of United Airlines’ Newark Catering facility; Marcia Lee, former Senior ... Read More