Tuesday, October 01, 2013
SEC Announces Largest Whistleblower Award to Date
The SEC Office of the Whistleblower announced today the payment of a $14 million award to an anonymous tipster. This is the largest award to date from the office, which was created under 2010’s Dodd-Frank Act in response to the global financial crisis. Based on the statutory range, the whistleblower’s tip may have allowed the government to recoup as much as $140 million. Sean McKessy, Director of the SEC’s Office of the Whistleblower, also announced that the program has consistently generated high-quality information; McKessy predicted that those tips could result in some “very big numbers” in the near future.
Read the entire article, “Bigger payouts seen for U.S. financial market whistleblowers"
Read the entire press release, “SEC Awards More Than $14 Million to Whistleblower"
Posted by eithurburn on 10/01 at 09:07 AM
Thursday, September 12, 2013
Bayer Targeted in Chinese Investigation
Close on the heels of its investigation of GlaxoSmithKline for “economic crimes,” China’s Federation of Industry and Commerce has contacted German drug giant Bayer in relation to an antitrust probe. A spokesman for Bayer said, “We assume that this contact is related to a wider investigation into the pharmaceutical industry in China.” Sales in China constitute 19.5% of the company’s worldwide total.
Read the entire article, “After GSK, Bayer also targeted in Chinese pharmaceutical probe"
Posted by eithurburn on 09/12 at 08:57 AM
U.S. Suit Against Allied Will Proceed
A federal judge has given the green light to a fraud lawsuit brought by the U.S. government against Allied Home Mortgage Capital Corp. Allied is alleged to have fostered a “culture of corruption” that led to the fraudulent misrepresentation of the creditworthiness of thousands of mortgage applicants. One of the government’s more colorful allegations is that some members of Allied’s quality control staff did not even know what a mortgage was. Allied’s motion to dismiss was denied in a decision made public Tuesday, clearing the way for trial in the Southern District of Texas.
Read the entire article, “U.S. can pursue mortgage fraud case vs Texas broker -judge"
Posted by eithurburn on 09/12 at 08:46 AM
Wednesday, September 11, 2013
Virginia Qui Tam Suit Against Quest Diagnostics Filed
Details were recently made public of a suit against Quest Diagnostics Inc. accusing the medical lab company—the country’s largest—of charging Virginia’s Medicaid program rates higher than those charged other customers. The suit, which was unsealed last month, originated as a qui tam action under the state’s Fraud Against Taxpayers Act. Among the allegations is a claim that Quest charged Medicaid as much as $10.42 for a blood test that normally ran $1.42.
Read the entire article, “Quest Diagnostics Sued for Defrauding Virginia Medicaid"
Posted by eithurburn on 09/11 at 08:42 AM
Monday, September 09, 2013
With Health Law Rollout Approaching, Authorities Watchful for Fraud
Among the many changes brought about by the enactment of the Affordable Care Act is an increase in Medicaid enrollment in many states. Officials in Massachusetts, mindful that increased enrollment means increased opportunity for fraud, have implemented a new $5 million program aimed at detecting and preventing phony claims before any money changes hands. The program, powered by sophisticated computer algorithms, will automatically freeze suspicious payments until they are reviewed and approved by human investigators.
Read the entire article, “With ObamaCare changes, state girds for more Medicaid fraud"
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Posted by eithurburn on 09/09 at 08:44 AM