The Securities & Exchange Commission announced 3 whistleblowers would be receiving approximately $125,000 for providing information about a hedge fund scam. The 3 provided helped the SEC shut down Locust Offshore Management and its CEO, Andrey Hicks. Hicks was sentenced to 40 months in federal prison on related criminal fraud charges. Although it did not […]
Recruiting Whistleblowers!
January 24th, 2012. President Obama addressed the nation in his State of the Union speech and told Americans that those responsible for the housing market crash would be held responsible. While few bankers have been sent to prison – and none from America’s “Too Big To Jail” banks – whistleblowers have helped the Justice Department […]
PharMerica Whistleblower Suits – (Some Companies Just Don’t Learn)
[Updated through 2020] We originally wrote this post in August 2013. That is when the federal government filed suit against PharMerica Corp, a major long-term care pharmacy. The lawsuit was originally begun in 2009 by a former PharMerica employee turned whistleblower. Eleven years and 31.5 million later, the company still hasn’t learned its lesson. That […]
Whistleblowers Key to Fighting Government Fraud
The federal government loses billions of dollars to fraud every year. Mortgage companies falsify documents in order to earn commissions on loans. When the borrower can’t pay, the FHA or Fannie Mae steps in – your tax dollars. Ditto for doctors that bill Medicare for unnecessary services or services not even performed. Same for vendors […]
Inspector General Vacancies Hurt Whistleblowers
We were caught off guard this morning by a Wall Street Journal report revealing that several federal agencies had not filled Inspector General (IG) vacancies. Some agencies, like the State Department, have not had an inspector general since 2008! There are 78 inspector generals in the United States. Or at least there should be. Many […]
Whistleblower Leads To Fed Probe Of Prominent Miami Developer
Many federal investigations begin with a complaint from a concerned employee or citizen; a whistleblower. From a story in today’s Miami Herald, it appears two whistleblowers are behind the federal investigation of Carlisle Development Group and its CEO, Matthew Greer. Until now, both the company and Greer had spotless reputations. Press reports say the feds […]
Fake Drugs Represent New Whistleblower Opportunity
Fake and gray market pharmaceuticals represent a growing problem in the United States. Medical providers pressed by mounting costs sometimes resort to purchasing drugs manufactured in Turkey, India and other foreign countries. Unless produced in an FDA inspected facility, there is no way to insure those drugs are safe or even contain the prescribed amount […]
Deadly Healthcare – Rewarding Hospitals For Mistakes (Health Care Fraud Post)
by Brian Mahany Doctors, nurses and health care workers deserve the utmost respect. 99% of them do a wonderful job, even in less than ideal conditions. Unfortunately, the Institute of Medicine says that hospital errors kill 100,000 Americans per year according to an article published by Yahoo Health. If that number is correct, that is […]
Feds Charge Another Mortgage Lender – (Whistleblower Post)
by Brian Mahany Five years after the housing crisis began and the feds continue to pursue those responsible for the mess. Although the federal false claims act statute of limitations prevent some whistleblower cases from going forward, whistleblowers can still earn a hefty payday under FIRREA statute. FIRREA is short for the Financial Institutions Reform, […]
Alaska Whistleblower Wins $3.5 Million In Retaliation Claim
by Brian Mahany In a perfect world, companies would reward whistleblowers. In my law firm, for example, I would want to know if someone was stealing or breaking the law. Unfortunately, in these tough economic times, some businesses intentionally cut corners and whistleblowers in those companies often face retaliation. Congress and most states have said […]