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False Claims Act
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Federal Government Files Lawsuit Against Doctor for False Claims Act Violations

The U.S. Attorney’s Office for the Middle District of Pennsylvania recently announced it initiated a lawsuit against family medical doctor Peter J. Baddick, III over allegations of medically unnecessary prescriptions for Subsys, a fentanyl-based spray used for cancer pain. Case background In the complaint, the federal government alleges Dr. Baddick violated the False Claims Act Read More

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2021 Was a Massive Year for False Claims Act Settlements

The U.S. Department of Justice recently revealed that 2021 was a major year for False Claims Act settlements and judgments. According to the DOJ, the federal government took in more than $5.6 billion in settlements and judgments, the largest since 2014 and the second-largest amount ever recorded. This number includes the gigantic $2.8 billion Purdue Read More

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Surgical Company, Physician Settle Whistleblower Lawsuit for $3 Million

A recent lawsuit against a Georgia surgical company and the physician who owns it resulted in a $3 million lawsuit. The False Claims Act case was filed against Dr. Jeffrey Gallups and his company, Milton Hall Surgical Associates. A former staff doctor blew the whistle on alleged fraudulent practices, including ordering unnecessary tests for patients Read More

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Mallinckrodt Must Pay $234 MIllion to Resolve False Claims Act Lawsuit Brought by Former Employee

The federal government, in conjunction with individual states, the District of Columbia and Puerto Rico, recently settled a False Claims Act lawsuit against Mallinckrodt PLC, a pharmaceuticals company. The lawsuit alleged Mallinckrodt regularly and knowingly underpaid Medicaid rebates for one of its products, Acthar. As a result of the action, the company must pay nearly Read More

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Orthopedic Surgeon Must Pay $343,000 to Settle Allegations of False Claims Act Violations

Dr. Mark Stephen Wilson, an orthopedic surgeon based in Oklahoma, will pay the federal government nearly $343,000 to resolve allegations of False Claims Act violations. According to the Department of Justice, Wilson accepted illegal kickback payments from Brookhaven Specialty Pharmacy LLC. Case background DOJ attorneys stated Wilson knowingly accepted payments from Brookhaven Specialty Pharmacy from Read More

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FCA Whistleblowers Received Lowest Total Awards in More than a Decade

The federal whistleblower programs at the Securities and Exchange Commission (SEC) and Commodities and Futures Trading Commission (CFTC) have been the subject of quite a bit of praise for their effectiveness, and it’s easy to see why; the agencies’ programs have taken off in a big way over the last several years, and both achieved Read More

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Hayat Pharmacy to Settle False Claims Act Case for $2 Million

The United States Department of Justice (DOJ) recently announced a settlement with Milwaukee-based chain Hayat Pharmacy for $2.05 over allegations the pharmacy made false claims to Medicaid and Medicare for prescription medications. The money from the settlement will be divided between the Wisconsin state government and the federal government. Wisconsin will receive approximately 34 percent Read More

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Sixth Circuit Provides Clarification on False Claims Act Whistleblower Statute of Limitations

On January 10, 2022, the Sixth Circuit ruled the statute of limitations period for False Claims Act whistleblower retaliation cases begins when the whistleblower is first notified of the adverse retaliatory action. This clarification came in the ruling of El-Khalil v. Oakwood Healthcare, Inc. Case background The plaintiff in the case, El-Khalil, witnessed employees of Read More

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Hospital Pays More Than $3 Million in Whistleblower Claim Settlement

John Peter Smith Hospital recently agreed to pay $3.3 million to settle allegations of False Claims Act violations. The hospital was alleged to have upcoded claims submitted to healthcare programs to receive more money in reimbursements. Case background The lawsuit that prompted the FCA action originally was filed in 2018 by the former Director of Read More

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Navistar Defense Settles False Claims Act Allegations for $50 Million

Navistar Defense LLC, a company based in Illinois that manufactures military vehicles, recently agreed to pay $50 million to settle a False Claims Act case alleging it inflated prices in an agreement with the U.S. Marine Corps for suspension systems for armored vehicles. Case background The inflated prices came in the midst of a contract Read More

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