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 […]
Continue reading…Hedge fund and manager pay New York $105 million to settle tax evasion case initiated by whistleblower
The New York State Attorney General Letitia James and New York City Corporation Counsel John E. Johnson have settled a state tax evasion case for $105 million against Thomas Sandell of Sandell Asset Management Corporation (SAMC), a hedge fund. It is alleged that Sandell, through his firm, recognized over $450 million in management and performance […]
Continue reading…Court Allows Nursing Home Pharmacy “Swapping” Claims to Proceed
In a long-running case, a federal court in the District of New Jersey has allowed a whistleblower to proceed with an amended complaint alleging that a large nursing home pharmacy, Pharmerica, paid kickbacks to its nursing home customers by engaging in “swapping.” Because nursing homes generally have to cover the cost of drugs provided to […]
Continue reading…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 […]
Continue reading…Newman & Shapiro featured in Reuters: Ex-prosecutor behind mega pharma cases co-founds whistleblower firm
A former federal prosecutor who helped recover billions of dollars in settlements from drugmakers and other companies accused of fraud is launching a new whistleblower law firm with another attorney. Gregg Shapiro, who was heading an industry-wide probe of drugmakers’ financial support of patient assistance charities before leaving the U.S. Attorney’s Office in Massachusetts, is […]
Continue reading…Former DOJ Fraud Prosecutor Gregg Shapiro Joins Jeffrey Newman Law To Form New Whistleblower Law Firm, Newman & Shapiro
BOSTON, MA, April 12, 2021 – After a 16-year career in the Boston United States Attorney’s Office, where he was one of the nation’s most successful fraud prosecutors and recovered billions of dollars for American taxpayers, Gregg Shapiro has joined Jeffrey Newman Law to form Newman & Shapiro, a new whistleblower law firm. Newman & […]
Continue reading…Health Net Federal Services LLC pays over $97 million to settle investigation over inflated claims to Dept of Veterans Affairs
Health Net Federal Services LLC has paid $97,237,391 to resolve duplicate and inflated claims submitted to the Department of Veterans Affairs, Acting U.S. Attorney Phillip A. Talbert announced. In 2013, Health Net entered a $5.05 billion contract with the VA under the Patient-Centered Community Care program, which offered private health care to veterans when VA […]
Continue reading…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 […]
Continue reading…CFTC orders Coinbase Inc. to pay $6.5 million for misleading reporting on trading
The Commodity Futures Trading Commission today issued an order filing and settling charges against digital asset exchange operator Coinbase Inc., based in San Francisco, California, for reckless false, misleading, or inaccurate reporting as well as wash trading by a former employee on Coinbase’s GDAX platform. (“Wash trading” means entering into, or purporting to enter into, […]
Continue reading…The increase of Illegal frontrunning in the cryptocurrency world
Front-running, in stock trading and also in cryptocurrency trading, is the illegal practice of using insider information to make securities purchases knowing other purchasers are going to buy the same stock or currency and then selling it at a higher price. The key to this illegality is the non-public nature of the information being used […]
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