The Department of Justice filed a proposed settlement with Ranbaxy, under which the drug company has agreed improve its data integrity and compliance practices in order to resolve allegations that its manufacturing plants in India failed to meet current good manufacturing practices. Under the consent decree, Ranbaxy will implement new procedures to ensure it meets…
Boeing to Pay over $4 Million
Boeing has agreed to pay $4,392,779.74 to resolve allegations that it double billed for services related to the production and repair of Chinook helicopters for the Department of Defense. According to the allegations, the company encouraged its Chinook project mechanics to bill for time expended on work within the scope of the pre-negotiated contract as…
NYC Evaluating Renewal of City FCA
New York City’s False Claims Act, originally passed in 2005, is set to expire in June 2012. On January 20th, the City Council’s Committee on Governmental Operations heard testimony on the history of the act and whether it should be renewed. In its written testimony, the New York City Law Department noted that seventeen on-going…
Kristin Amerling Named Executive Director of TAF
Neil V. Getnick, Chair of Taxpayers Against Fraud, a national organization that advocates on behalf of federal and state False Claims Acts and other whistleblower laws, announced that the organization has chosen a new Executive Director, Kristin Amerling. Ms. Amerling comes to TAF with significant legislative experience, having served a combined thirteen years as Counsel…
Johnson & Johnson Settles Texas Case
Johnson & Johnson has reportedly agreed to pay $158 million to settle the Texas case that went to trial last week. Texas alleged that Johnson & Johnson aggressively marketed its anti-psychotic drug Risperdal for off-label uses in children and the elderly, in spite of serious safety concerns. This settlement is in addition to the alleged…
Omnicare Sued Under FCA…Again
A False Claims Act suit has been filed against nursing home pharmacy Omnicare, just over two years after the company paid $98 million to settle a similar suit. The latest complaint, filed by a former employee, alleges that the company inflated its reimbursement prices by dispensing drugs with different National Drug Codes than the actual…
$1B Johnson & Johnson Settlement with U.S. Rumored; Trial Begins in Texas
Johnson & Johnson continues to battle lawsuits related to its marketing of Risperdal, an anti-psychotic drug. After being ordered to pay nearly $660 million after losing cases in South Carolina and Louisiana and prevailing in West Virginia and Pennsylvania, the company has reportedly settled related allegations with the federal government and several states for $1…
USAO: Settlement Close with BNY Mellon
According to documents filed in federal court, the U.S. Attorney’s Office for Manhattan is “close” to reaching a settlement with BNY Mellon, resolving “some or all” of the allegations that the bank defrauded customers through its foreign currency exchange services. According to the complaint, the bank promised customers that it would give them the best…
Radiology Company Sued for Kickbacks, Testing Practices
A medical radiology company, Universal Imaging, has been sued under the False Claims Act for allegedly violating Medicare rules on supervision of diagnostic tests and for paying kickbacks for referrals for testing services. One doctor, who allegedly ordered a dangerous amount of tests involving injection of radioactive materials after receiving payments from Universal, has also…
Taxpayers Against Fraud Predicts $9 Billion in FCA Recoveries for 2012
Given several large cases currently pending, Patrick Burns of Taxpayers Against Fraud has predicted that the government will recover as much as $9 billion under the False Claims Act in 2012. Settlements are anticipated in the near future for several large companies including Merck, GlaxoSmithKline, Abbot, Amgen, and Oracle. Other companies will either face trial…
