Bank of America reached a settlement with New York State, agreeing to pay $15 million to settle allegations related to the acquisition of Merrill Lynch in 2008. According to the NY Attorney General’s office, Bank of America withheld material financial information from investors regarding the financial health of Merrill Lynch prior to shareholder approval of…
Rush University Medical Center to Pay Over $1.5 Million to Settle False Claims Act Allegations
Rush University Medical Center will pay over $1.5 million to settle allegations that it violated the False Claims Act. Allegedly, the facility submitted false claims to Medicare through entering into leasing arrangements for office space with two physicians and three physician practice groups in violation of the Stark Law. The Stark Law forbids hospitals to…
NYS Settles FCA Tax Case Against Lantheus Medical Imaging and Bristol-Meyers Squibb
Lantheus Medical Imaging and Bristol-Meyers Squibb have agreed to pay $6.2 million to settle allegations that Lantheus failed to pay New York State business franchise taxes, New York City corporation taxes, and MTA surcharges from 2002 to 2006. New York is the only state that explicitly permits whistleblowers to bring qui tam actions for violations…
NYS Settles FCA Tax Case Against Lantheus Medical Imaging and Bristol-Meyers Squibb
Lantheus Medical Imaging and Bristol-Meyers Squibb have agreed to pay $6.2 million to settle allegations that Lantheus failed to pay New York State business franchise taxes, New York City corporation taxes, and MTA surcharges from 2002 to 2006. New York is the only state that explicitly permits whistleblowers to bring qui tam actions for violations…
Florida Hospital System to Pay $85 Million to Settle FCA Claims
Halifax Hospital Medical Center and Halifax Staffing Inc. (Halifax), a Florida-based hospital system, agreed to pay $85 million to settle allegations that they violated the False Claims Act by engaging in improper physician compensation deals. According to the allegations, Halifax paid doctors above-market rates and handed out incentive bonuses depending on the value of Medicare…
JPMorgan Chase Pays $614 Million to Resolve FCA Suit
JPMorgan Chase has agreed to pay $614 million to resolve allegations that the bank fraudulently approved and underwrote FHA- and VA-backed mortgage loans that failed to meet the standards of those agencies. Many of the defective loans have since defaulted or are at risk for default, leaving taxpayers to foot the bill. In an unusual…
New York FCA’s Tax Amendment Pays First Dividends
The federal government, 29 states, and the District of Columbia have False Claims Acts designed to promote recovery of government money from wrongdoers through the efforts of private whistleblowers. Until recently, however, none of these laws specifically applied in the area of tax law. That changed in 2010, when New York became the first state…
NY AG Can Proceed with FCA Case against Sprint
A New York appeals court ruled Thursday that a suit alleging that Sprint avoided hundreds of millions of dollars in sales taxes can proceed. The court affirmed the lower court’s finding that the AG’s complaint sufficiently alleged violations of the New York State False Claims Act. The appeals court also affirmed the lower court’s decision…
Radiology Practice Pays $15.5m for Allegedly Defrauding Medicaid and Medicare
Diagnostic Imaging Group (DIG), a radiology practice, has agreed to pay a total of $15.5 million to settle allegations that it submitted false claims to increase Medicare and Medicaid reimbursements and paid physicians for their referrals. According to the allegations, DIG falsely billed Medicare, as well as the New York and New Jersey Medicaid Programs,…
Pharmaceutical Company Pays $192.7 Million to Settle Off-Label Marketing Charges
Pharmaceutical company Endo Health Solutions Inc. and its subsidiary Endo Pharmaceuticals Inc. (Endo) agreed to pay $192.7 million to resolve criminal and civil charges that they marketed unapproved uses of the prescription drug, Lidoderm. Under a deferred prosecution agreement, Endo admitted that they marketed Lidoderm for unapproved indications, and agreed to pay a total of…