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whistleblower 823 articles

Judge Files Whistleblower Complaint Accusing California Regulators of Retaliation

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The former chief administrative law judge at the California Public Utilities Commission is filing a whistleblower complaint against the utility regulator, alleging she was fired for cooperating with federal investigators probing the Commission’s lax oversight of Pacific Gas & Electric (PG&E). According to The Mercury News, Judge Karen Valentina Clopton claims the Utilities Commission dismissed her from her top-ranking judicial position in August in retaliation for her cooperation with federal investigators probing the 2010 natural gas explosion that destroyed a San Bruno, California neighborhood. The explosion occurred when an old 30-inch natural gas pipeline ruptured underneath a suburban neighborhood just ... Read More

Whistleblowers Help Expose $58 Million Drug Rehab Scam

Whistleblowers were instrumental in the arrest of a former owner of a South Florida rehabilitation center for drug addicts and an accomplice whose fraudulent conduct cost several insurance companies a combined $58.2 million. According to Addiction Professional, Eric Snyder, a former recovering addict who started Real Life Recovery treatment centers in Delray Beach and a sober home called Halfway There, was arrested and charged with conspiracy to commit health care fraud. Mr. Snyder’s accomplice, Christopher Fuller, was also arrested on similar charges. Mr. Fuller, who had a history of 19 arrests before meeting Mr. Snyder, would go to AA meetings ... Read More

Whistleblower Lawsuit Against Bayer Revived by U.S. Appeals Court

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A whistleblower suing Bayer A.G. in connection to a statin drug that was pulled from the market in 2001 over health risks has had her case revived by a federal appeals court for the second time. According to Business Insurance, Laurie Simpson filed a whistleblower lawsuit against the Germany-based drug giant and its units under the False Claims Act, which authorizes private parties to sue on behalf of the U.S. government in cases of suspected fraud targeting taxpayer-funded programs and government agencies. Ms. Simpson’s whistleblower suit accuses Bayer of misrepresenting the efficacy of its cholesterol-lowering statin Baycol compared with competing ... Read More

Whistleblower Was Key in $7.55 Million Recovery From Opioid Drugmaker

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A whistleblower lawsuit has helped the U.S. government recover more than $7.55 million from a California-based drugmaker accused of contributing to the nation’s opioid crisis by paying kickbacks to doctors who prescribe its potent fentanyl-based painkiller Abstral. “Given the dangers associated with opioids such as Abstral, it is imperative that prescriptions be based on a patient’s medical need rather than a doctor’s financial interests,” acting Assistant Attorney General Chad Readler said in a statement Friday. The settlement resolves a lawsuit filed against California-based Galena Biopharma Inc. by Lynne Dougherty under the whistleblower provisions of the False Claims Act, which allows private ... Read More

Shipbuilder Settles Whistleblower Billing Fraud Allegations

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Newport, Virginia-based shipbuilder Huntington Ingalls Inc. will pay the U.S. $7.9 million to complete a $9.2 million settlement resolving a whistleblower lawsuit that claimed the company knowingly overbilled the government for labor performed on Navy and Coast Guard ships. Bryon Faulkner, a former Huntington Ingalls employee, started noticing billing irregularities while working at the company’s shipbuilding operations in Pascagoula, Mississippi in 2012. According to the U.S. Department of Justice, Mr. Faulkner’s whistleblower lawsuit alleges Huntington Ingalls mischarged and overcharged the government for work on numerous Navy and Coast Guard contracts starting in 2003. Mr. Faulkner also claims that the company ... Read More

Novo Nordisk Settles Whistleblower Complaints Alleging Victoza Fraud

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Novo Nordisk has agreed to pay nearly $59 million to settle seven whistleblower lawsuits accusing the Danish multinational drug company of violating the Federal Food, Drug, and Cosmetic Act (FDCA) and False Claims Act (FCA) by downplaying the health risks of its diabetes drug Victoza. The U.S. Justice Department said Tuesday’s settlement settles allegations that Novo Nordisk fed information to doctors through its sales force that created false or misleading impressions that the U.S. Food and Drug Administration (FDA)-mandated warnings for Victoza were wrong or unimportant. After the FDA approved Victoza as a Type II diabetes treatment in 2010, it required ... Read More

Whistleblower Suit Leads To $12 Million Recovery From New Mexico Hospital

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A whistleblower lawsuit against a Santa Fe, New Mexico hospital and its Texas-based parent company has led to a recovery of more than $12 million in federal and state Medicaid funds. Christus St. Vincent Regional Medical Center, part of the Christus Health network of hospitals, reached a settlement last week with the U.S. Justice Department, which had supported a False Claims Act lawsuit filed in 2011 by Diana Stepan, a former public health official for Los Alamos County. Ms. Stepan, who died last year, claimed that Christus St. Vincent engaged in a scheme involving New Mexico’s Sole Community Provider program, ... Read More

Whistleblower Alleges Charlotte Law College Cheated Taxpayers

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A whistleblower lawsuit filed by a former professor of the Charlotte School of Law accuses the now-defunct for-profit school and its parent company Infilaw of cheating taxpayers out of $285 million by routinely admitting hundreds of unqualified students and then manipulating their records to ensure their federal loan money for tuition kept flowing. According to The Charlotte Observer, whistleblower Barbara Bernier filed the False Claims Act lawsuit in June 2016 on behalf of the U.S. government, accusing Charlotte Law of much of the same illegal maneuvering that other for-profit schools have been accused of in recent years, thanks to whistleblower actions. ... Read More

Whistleblower Recovers $2 Million For California Medicaid Recipients

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Two Bay Area companies and the two individuals who head them will pay $2 million to resolve whistleblower allegations that they violated the federal and state False Claims Act by knowingly overbilling a program designed to serve Californians with developmental disabilities. Whistleblower Beverly McCaffery originally filed the False Claims Act lawsuit, accusing Alternative Learning Center, its president Alice Soard, and Adult Educational Technologies Inc., and its executive director Wendell James, of defrauding California’s Department of Developmental Services (DDS) by billing for services that were never provided, U.S Attorney for the Eastern District of California Phillip Talbert announced. The whistleblower lawsuit ... Read More

Pennsylvania Turnpike Commission Whistleblower Awarded $2.48 Million

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The Pennsylvania Supreme Court has upheld a lower court’s 2016 ruling that the Pennsylvania Turnpike Commission wrongfully terminated a whistleblower employee who accused a preferred IT contractor of waste and wrongdoing surrounding the implementation of a new data systems project. Ralph Bailets alleged the Turnpike Commission fired him in November 2008 in retaliation for his complaints about Ciber Inc., a contractor whose officers had developed a corrupt and cozy relationship with Turnpike Commission leaders though “a steady flow of gifts and targeted campaign contributions,” PennLive reported. In February 2014, Commonwealth Court Judge Rochelle Friedman rejected Ralph Bailets’ lawsuit against the ... Read More