Justice Department Announces Settlement With Private Equity Investor
Alleged Billing for Unapproved Procedures
Whenever an individual blows the whistle on fraud against the federal government or State of California, the individual can be rewarded when the government recovers as a result. The grounds for the claims and the reward allowances are set forth for federal claims in the False Claims Act (FCA), 31 U.S.C. § 3729 et seq., and for fraud against the State of California under the very similar provisions of the California statute, Cal. Gov’t Code § 12650 et seq. The whistleblower litigators at Evans Law Firm, Inc. represent whistleblowers in both federal and State qui tam cases; sometimes the complaints involve allegations against both federal and State false claims. Individuals who are whistleblowers (also known as “relators”) typically have firsthand information of overbilling, false certifications, reimbursement for unapproved medications or defective or substandard devices, improperly “upcoding” procedures to obtain a higher level of reimbursement, or paying illegal kickbacks to clinics, hospitals, physicians or others for provision of medical services. If you have credible information of fraud against the federal or State government that may be the basis for a whistleblower or qui tam case, call the Los Angeles and California whistleblower attorneys at Evans Law Firm, Inc. today at (415) 441-8669.
Defective Medical Device Case
In a recently reported settlement of an FCA case a private equity fund that formerly owned a medical device and pharmaceutical manufacturer recently settled a qui tam suit alleging violations of the False Claims Act. According to the allegations in the complaint, from 2006 to 2015 the manufacturer promoted a treatment for use with patients that had not been approved by the Food and Drug Administration. As a result, the government contended, the private equity fund former owner caused the manufacturer to submit false claims to Medicaid, the Federal Employee Health Benefits Program, and Tricare. The case remains under seal; as a result, it is not yet apparent whether the government has alleged that the private equity fund took an active role in the management of the portfolio company or other facts that would support FCA liability attaching to the investor. In settlement of the claims, but without admitting liability, the private equity fund agreed to pay the United States and participating states $1.5 million. Two individual relators/whistleblowers will share a percentage of the settlement as a reward for their efforts.
Information of Fraud and Bringing a Qui Tam Case
Individuals with original and credible information of false claims begin qui tam cases by filing a complaint under seal in either the federal court for federal claims or the Superior Court of California for allegations of fraud against the State. Whether your case asserts allegations under the federal statute or the State statute (or both), the litigators at Evans Law Firm know how to frame your evidence into a complaint. The seal period lasts 60 days during which the federal Department of Justice and/or the California Attorney General’s investigates your claims. (If necessary, the government can, and often does, extend the 60-day period during which the allegations are kept under seal.) Employers are prohibited from retaliating against you for bringing a FCA qui tam case, and your complaint can include claims that the defendant unlawfully retaliated against you. 31 U.S.C. § 3730 (federal retaliation protection); Cal. Gov’t Code § 12653 (California retaliation protection). Whether your claims are included in the underlying qui tam or the subject of an independent action for damages, reinstatement, double back pay with interest and all other available relief, our litigators can represent you in pursuing that relief.
Ingrid M. Evans and the other Evans Law Firm whistleblower and qui tam attorneys at (415) 441-8669, or by email at <a href=”mailto:firstname.lastname@example.org”>email@example.com</a> represent individuals with false claims information that may be appropriate for a case. Ingrid and the other whistleblower attorneys also handle bank fraud whistleblower cases under the Financial Institutions Reform, Recovery, and Enforcement Act (FIRREA), commodities and futures trading cases under the Commodities Futures Trading Commission Whistleblower Program, securities fraud cases under the Securities and Exchange Commission Whistleblower Program and FINRA Whistleblower Office and offshore tax evasion and other tax fraud cases under the Internal Revenue Service Whistleblower Office.
 Evans Law Firm, Inc. was not involved in the case in any way.