Thursday, June 01, 2006
Wall St. Journal reports Gabelli in Talks to settle with Justice Department
Lawyers for well-known money manager Mario Gabelli are in talks with the Justice Department to settle civil-fraud claims related to his alleged use of sham small-business affiliates to buy parts of the U.S. cell phone spectrum, and he is likely to pay more than $100 million to settle the issue, the Wall Street Journal reported Thursday.
The Journal report was based in part on an interview with Lanny Breuer, an attorney for Lynch Interactive Corp. and other Gabelli affiliates. “The government and defendants are involved in serious settlement negotiations,” Breuer told The Journal.
Click the following link to read the entire fraud settlement story in the Wall Street Journal Online (subscription required).
Posted by Quitam Help Admin on 06/01 at 01:43 PM
Farmers Exchange Bancorp to Pay U.S. $2.1 Million to settle allegations of Loan Fraud
Farmers Exchange Bancorporation (FEB) of Cherokee, OK has agreed to pay the United States more than $2 million to settle allegations that they violated the False Claims Act, the Justice Department announced yesterday.
The settlement resolved an allegations that from 1993 to 2006 Farmers Exchange Bancorp submitted false claims to the Farm Service Agency of the Department of Agriculture. The government had alleged that FEB improperly charged excessive fees and inflated interest rates on federally-guaranteed agricultural loans, which in turn resulted in FEB’s submission of false claims for payment to the U.S. for guaranteed loss claims and interest assistance payments.
The allegations arose from a qui tam lawsuit filed by Ronald Jenlink and Greg Boruff, former agricultural loan customers of FEB, under the whistleblower provisions of the False Claims Act, a federal law that allows private individuals to sue on behalf of the United States. As a result of the settlement, the whistleblowers will receive $340,320.64.
Click the following link to read the Justice Department press release on the false claims settlement.
Printer Friendly Page
Posted by Quitam Help Admin on 06/01 at 01:37 PM