Qui tam claims filed under the False Claims Act allow certain employees and other interested parties to file suit against an entity that is defrauding the federal government. When qui tam claims are filed, they are filed on behalf of the federal government, even though the individual who has obtained evidence of fraud is acting practically as plaintiff. These kinds of lawsuits empower both individuals with knowledge of fraud and the government itself to hold fraudulent parties accountable and to recover compensation as a result of a successful suit.
A lawsuit brought by two mortgage brokers accuses a number of large banks of defrauding veterans and other taxpayers out of millions of dollars.
Earlier this week, the National Whistleblowers Center held a seminar in Washington, D.C. to discuss the new developments under the Dodd-Frank Wall Street Reform and Consumer Act.
The San Francisco Chronicle reports that the Corporate Whistle Blower Center-a national firm specializing in whistleblower advocacy and protection-recently urged Wall Street executives and managers who have substantial proof of securities fraud in their corporation to come forward with claims
On Monday, a federal court in Washington determined that there is a three-year statute of limitations for filing a whistleblower lawsuit against the District of Columbia.
The Business Insider reports that the Securities and Exchange Commission announced last week that it would be proposing rules to create a whistleblower program designed to repay those tip off the agency to violations and allow for successful enforcement actions.
On Monday, the Supreme Court ruled 5-3 that qui tam lawsuits may not proceed on the basis of information obtained through under a Freedom of Information Act (FOIA) request.
The New York Times reports that the Department of Justice and several states plan on joining in a qui tam suit against Education Management Corporation (EDMC), in which the for profit college company has been accused of fraudulent practices with respect to how it compensates its recruiters.
According to the executive director of the National Whistleblowers Center in Washington D.C., the most important factors in cases where ordinary people step up to report fraud and corruption are who you tell and what you say.
The Department of Justice ("DOJ") has announced that a two-pronged federal investigation against Novartis Pharmaceuticals Corporation focusing on the company's unlawful off-label marketing activities and bribery of medical professionals in connection with the anti-seizure drug Trileptal settled on September 30. Novartis agreed to pay $422.5 million to resolve the civil liability charges and the criminal charges brought against it under the whistleblower provisions of the False Claims Act.