Securities and Exchange Commission awards $22 million to two whistleblowers for revealing securities violations

The Securities and Exchange Commission today announced awards totaling approximately $22 million to two whistleblowers whose information and assistance were of crucial importance to successful SEC enforcement actions brought against a financial services firm. The first whistleblower received an award of $18 million, while the second whistleblower received a $4 million award.  The larger award […]

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Physician blows whistle on Dignity Health hospital system and neurosurgical group in surgeries by inexperienced medical students

An anesthesiologist and member of the medical staff at Dignity Health, d/b/a St. Joseph’s Hospital, brought a False Claims Act qui tam lawsuit against the hospital and Neurosurgical Associates, LTD, in which he alleged a bait-and-switch scheme whereby patients thought they were undergoing invasive and high-risk surgeries performed by highly regarded and experienced neurosurgeons. However, […]

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Under Armour pays $9 million to end charges is misled investors about sales growth to meet analysts’ revenue targets

Under Armour will pay $9 million to settle federal regulators’ charges that it misled investors about its sales growth in 2015 and 2016 to meet analysts’ revenue targets. For six consecutive quarters beginning in the third quarter of 2015, the sports apparel company “pulled forward” a total of $408 million in existing product orders that […]

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Bristol-Myers Squibb Pays $75 Million to settle False Claims Act case on underpayment of drug rebates owed through medicaid

Bristol-Myers Squibb (“BMS”) will pay the United States and participating states $75 Million, plus interest, to settle a case alleging it knowingly underpaid rebates owed under the Medicaid Drug Rebate Program. Of that amount, BMS will pay approximately $41 million, plus interest, to the United States, and the remainder to states participating in the settlement. […]

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Large visa fraud scheme results in two companies and nine individuals being indicted including charges for harboring or transporting aliens

An indictment was returned by a federal grand jury in the Southern District of Georgia charging two businesses and nine of their officers and managers located across the country for their roles in an alleged conspiracy to defraud the U.S. government and commit various visa fraud and criminal immigration offenses for profit. According to court […]

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Federal appeals court affirms $111 million jury award to Government in whistleblower case for kickbacks by blood testing diagnostic laboratories

A federal jury has awarded the Government $111 million against two blood testing labs and their sales consultants were hit with a $111 million for knowing and willful violations of the Antikickback statute and False Claims Act (31 U.S.C. § 3729) (FCA). Blood testing labs Health Diagnostic Laboratory (HDL) and Singulex entered into exclusive contracts […]

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Securities and Exchange Commission charges investment advisor with defrauding sports clients for undisclosed fees and high risk investments

The Securities and Exchange Commission charged Douglas Elstun, an investment advisor serving pro athletes, with defrauding his clients with undisclosed fees and misleading them about a high-risk investment strategy. Elston operated registered investment advisor (RIA) Crossroads Financial Management and billed clients annual fees as high as 1.25% of assets under management, above the 1% maximum […]

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Senators demand the U.S. Department of Transportation implement whistleblower program previously mandated in 2015

The U.S. Department of Transportation (DOT) has failed to publish rules implementing a Congressionally-mandated auto safety whistleblower program.  Senators Richard Blumenthal (D-CT) and Edward Markey (D-MA) sent a letter to Transportation Secretary Pete Buttigieg demanding that the DOT immediately implement the whistleblower program. “Over the past few years, we have observed increasingly devastating and tragic motor […]

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Securities and Exchange Commission files suit against New Hampshire firm LBRY for failure to register offering of securities LBRY Token

The Securities and Exchange Commission (SEC) has filed a civil suit against New Hampshire firm LBRY because it allegedly failed to register an offering of securities. The SEC Complaint states: “From 2016 through the present, LBRY offered and sold millions of dollars’ worth of unregistered securities to investors, in the form of a digital asset […]

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Securities & Exchange Commission charges trader with fraud for false tweets alleging yield over $900,000 in profits

  The Securities and Exchange Commission has issued fraud charges and an asset freeze against a trader who used Twitter to spread false information about a defunct company. According to the SEC’s Complaint, the trader, Andrew Fassari secretly profited $900,000 by selling his own holdings of the company’s stock. The SEC complaint said he used […]

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