Whistleblower News

  • Using Sampling To Prove False Claims Act Liability

    On Monday, September 29, 2014, Judge Mattice of the US District Court for the Eastern District of Tennessee issued an opinion in U.S. ex rel. Martin v. Life Care Centers of America allowing the United States and the relators to present at trial a statistically significant sample of claims in order to prove some elements of False Claims Act liability.  This is the first case that has squarely addressed the use of sampling to help prove liability in a FCA case.  A copy is linked to below.

    In the Martin case, the Government sought “to use a…

  • Arbitrary application of law in a global economy

    This article, written by Reuben Guttman, Head of Grant & Eisenhofer’s Washington, DC office and whistleblower practice, was published in The Hill on September 11 2014.


    There are more than 3,000 drug trials being conducted in China. Indeed, data from these trials is almost certain to find its way into applications filed back in the United States with the Food and Drug Administration.

    Do large drug companies – which trade on U.S. domestic securities exchanges – accurately report complete information about drug trials…

  • Do We Really Trust Corporations To Investigate Their Own Profitable Impropriety?

    This article, written by Reuben Guttman, Head of Grant & Eisenhofer’s Washington, DC office and whistleblower practice, was published in Forbes on August 15 2014.

    Can a corporation really investigate its own behavior? Do internal compliance programs really work, or does their mere existence give well-compensated employees plausible rationale not to question conduct that would otherwise be questionable?

    Answering these questions must begin with the age-old concern about conflicts of interest. The Book of Matthew counsels that “no man can…

  • Another Reminder of Why Corporations Cannot Police Themselves

    This article, written by Reuben Guttman and Traci Buschner of Grant & Eisenhofer, was published in the McClatchy-Tribune News Service on August 13, 2014.

    What kind of people would knowingly expose someone to the risk of infection just to make a buck?

    Read carefully the allegations underlying the recent $97 million settlement between the U.S. Department of Justice and Community Health Systems and that question may be answered.

    Responding to lawsuits brought under the False Claims Act by multiple whistleblowers, the government investigat…

  • CHS Cites ‘Shifting’ Standards in Fraud Allegation Settlement

    This interview with Reuben Guttman, Director of the False Claims Litigation Group at Grant & Eisenhofer P.A. who represented three Plaintiff-Relators in United States ex rel. Doghramji v. Community Health Systems Inc., was conducted by John Commins, Senior Editor with HealthLeaders Media. The interview was published online on August 6, 2014.

    An attorney representing one of the whistleblowers alleging that Community Health Systems committed fraud says that as a nation, “we have a healthcare delivery system where doctors and individual decisi…

  • Grant & Eisenhofer Represents Whistleblowers in Nearly $100 Million Settlement With Community Health Systems, Resolving Claims that Medicare/Medicaid Payors Were Bilked by Excessive ER Admissions

    Justice Department and multi-state AG settlement resolves alleged scheme of over-admitting patients at nearly 120 CHS hospitals across 20 states; whistleblowers include former ER physician in Philadelphia

    WASHINGTON, DC (August 4, 2014) – In a major settlement for alleged health care fraud, law firm Grant & Eisenhofer P.A., working with the U.S. Justice Department and various states’ attorneys generals, has reached an agreement with Community Health Systems (NYSE: CYH) to resolve whistleblower lawsuits filed under federal and state fals…

  • GlaxoSmithKline Sacks Staff on China Bribery Scandal

    This article written by Lianna Brinded was published on April 4, 2014 in the International Business Times:

    GlaxoSmithKline has allegedly sacked a range of employees as it continues to battle against a mass bribery scandal in China.

    According to unnamed sources cited by Reuters, a number of China-based staff have been dismissed as they failed to comply with expenses rules.

    China’s Ministry of Public Security (PSB) claims that GSK executives routed 3bn yuan (£324m, €375m, $489m) in bribes to doctors through travel agencies and consult…

  • Grant & Eisenhofer Represents Whistleblower in Latest Settlement Involving Improper Marketing of Drug Used on Nursing Home Patients

    Pharmacy provider Omnicare settles False Claims Act Allegations for $4.19 Million; litigation moves forward against PharMerica and Kindred

    WASHINGTON, DC (February 27, 2014) – Following on the heels of a $24.9 million settlement with Amgen last April, long-term care pharmacy Omnicare (NYSE: OCR) has resolved allegations that it received remuneration from Amgen in order to influence the selection and utilization of the drug Aranesp throughout the nations’ nursing homes.  Aranesp, with limited indications, is used to treat anemia. 


  • The Obstructing Agency

    The New York Times recently reported that the Navy “lifted the suspension of a shipping contractor under investigation for possible fraud, allowing the company to compete for new work.  In exchange, the company has agreed to pay for an independent audit that could help the Justice Department determine how much it may have overcharged the government.”   The article goes on to note that the government is investigating the company following the filing of whistleblower case several years ago. 

    What is interesting is that the use of an outsid…

  • What Is A Gold Standard Compliance Program Really Worth?

    One of the recommendations in the Chamber of Commerce’ October report on how to reform the False Claims Act was that companies with a “gold standard” compliance program would, among other things, face reduced or no damages.  While I have no idea what a “gold standard” compliance program would be – and the report does not define it – recent news about the sudden change in Pfizer’s general counsel office illustrates that this particular proposal is not worth much. 

    Pfizer promoted to General Counsel its Chief Compliance Officer, Douglas Lan…

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