Over the last 15 years, private equity (“PE”) firms have invested hundreds of billions of dollars in the healthcare sector, infiltrating every corner of the industry from emergency rooms and labs to billing providers and...more
1/27/2025
/ Civil Monetary Penalty ,
Debt Collection ,
Department of Health and Human Services (HHS) ,
Department of Justice (DOJ) ,
Enforcement Actions ,
False Claims Act (FCA) ,
FDCPA ,
Fraud ,
Fraudulent Transfers ,
Healthcare ,
Leveraged Buyout ,
Private Equity ,
Relators ,
Settlement
Takeaways:
•The IRS is modernizing its somewhat anemic whistleblower program.
•IRS whistleblower awards are finally rebounding.
•The IRS is aggressively targeting high-net-worth taxpayers and large corporations....more
Takeaways:
•The Office of the Attorney General for D.C. announced a $40 million settlement with Michael Saylor and MicroStrategy, Inc., marking the largest income tax recovery in D.C. history.
•The resolution arose from a...more
In December 2022, the Department of Justice indicted eight individuals for securities fraud for allegedly operating a $114 million social media pump and dump scheme. United States v. Constantinescu, No. 4:22-CR-00612 (S.D....more
On February 22, 2024, the Department of Justice (“DOJ”) published its annual review of cases and recoveries under the False Claims Act. Through the end of fiscal year 2023, total recoveries (across all years) under the False...more
2/27/2024
/ Anti-Kickback Statute ,
CIGNA ,
Coronavirus/COVID-19 ,
Department of Justice (DOJ) ,
False Claims Act (FCA) ,
Healthcare Fraud ,
Medicare ,
Medicare Advantage ,
Paycheck Protection Program (PPP) ,
Qui Tam ,
Relators ,
Whistleblowers
Key Takeaways-
• Largest year ever for whistleblower awards (nearly $600 million in total)-
• Largest single whistleblower award ever ($279 million to an individual whistleblower) -
• Largest year for whistleblower tip...more
On August 14, 2023, in a rare whistleblower award opinion, the Eleventh Circuit affirmed the Securities and Exchange Commission’s (SEC) denial of a whistleblower award in Granzoti v. Securities and Exchange Commission, 2023...more
On July 12, 2023, the Securities and Exchange Commission (SEC) awarded $9 million to a whistleblower who submitted a tip through the SEC’s Whistleblower Program. Per agency policy, the Award Order is heavily redacted and does...more
On May 5, 2023, the Securities and Exchange Commission (“SEC”) announced that it had awarded a single whistleblower $279 million. This is the largest award made under the SEC’s Whistleblower Program by a long shot – more than...more
Takeaways:
•The Treasury Whistleblower Program now provides for guaranteed awards of 10% to 30% of the government recovery in covered actions-
•The Treasury Whistleblower Program has been expanded to include not just tips...more
2/16/2023
/ Anti-Money Laundering ,
Bank Secrecy Act ,
CFTC ,
Economic Sanctions ,
Evasion ,
FinCEN ,
Foreign Narcotics Kingpin Designation Act ,
International Emergency Economic Powers Act (IEEPA) ,
Russia ,
Trading with the Enemy Act ,
U.S. Treasury ,
Whistleblowers
The United States government has four primary whistleblower statutes and reward programs:
•The Federal False Claims Act (“FCA”)-
•The Securities and Exchange Commission (“SEC”) Whistleblower Program-
•The Internal...more
Earlier this month, Snap Diagnostics LLC and two of its executives entered into a nearly $4 million settlement with the United States to settle two qui tam lawsuits. Snap agreed to pay the government $3.5 million with the two...more
CT Magazine (June 2022) -
The Medicare and Medicaid programs are exceedingly complex, and navigating the myriad statutes, regulations, rules, and guidance presents significant challenges for all healthcare providers and...more
Recent enforcement actions show that the federal government is once again clamping down on online boiler rooms. Last year, the Securities and Exchange Commission filed a civil complaint against Steven Gallagher, with the...more
In Insinga v. Commissioner of Internal Rev. Service, 9011-13W, 2021 WL 4983084 (U.S. Tax Ct. Oct. 27, 2021), the United States Tax Court recently tackled an issue of first impression: whether an IRS whistleblower’s claim may...more
Takeaway: Misconduct in the multitrillion dollar derivatives market can lead to massive recoveries for the government and whistleblowers alike. Even when the CFTC is already on the case, a whistleblower who tips off the...more
Takeaway: The H.I.G. case will no doubt embolden the Department of Justice and whistleblowers going forward. Now DOJ and relators have a strong summary judgment opinion to ground liability in future cases and several...more
Takeaway: 2021 has been a record year for the SEC’s whistleblower program with awards for fiscal year 2021 topping $500 million and total awards now exceeding $1 billion. This reflects both a pro-whistleblower administration...more
Takeaway: This recovery makes it very clear that the federal government and whistleblowers continue to aggressively pursue fraud allegations involving the Medicare Advantage Program. We can expect to see robust enforcement...more
The District of Massachusetts issued the very first summary judgment decision in a False Claims Act (FCA) lawsuit involving a private equity (PE) firm. The decision provides valuable insight into how the FCA may apply to PE...more
On January 14, 2021, the Department of Justice provided its annual review of cases and recoveries under the False Claims Act. Through the end of fiscal year 2020 (ending September 30, 2020), total recoveries (across all...more