False Claims Act

Pharma Rang Up Record FCA Fines in 2011; 2012 Will Be Worse

Jaclyn Jaeger January 24, 2012

No rest for compliance officers at government contractors: 2011 saw a record-setting $2.8 billion in penalties for the False Claims Act last year, with 2012 looking no better. Already GlaxoSmithKline is edging toward a $3 billion settlement, and industry totals this year could hit $9 billion. Among the violations that can snare drug companies is failure to return Medicare overpayments on time. More details inside.

The Reasonable Person: Internal Audit's Role in Internal Investigations

José Tabuena November 08, 2011

Yes, sometimes the best response to an allegation of misconduct is to commission an external investigation—but in many cases, an internal investigation will do just as well. How can you assure objectivity and independence in those cases? Inside, Compliance Week Columnist José Tabuena explores internal audit's role in serving as the "reasonable person" whose expectations are what counts in court.

'Price Reduction Clauses' Raise False Claims Act Perils

Jaclyn Jaeger October 18, 2011

A $200 million False Claims Act settlement Oracle reached with the federal government is yet another reminder of compliance perils when selling complex products to Uncle Sam. At issue is the price-reduction clause, which requires contractors to offer the lowest price given to other comparable customers. In industries where pricing isn't always transparent, compliance is no easy task.

Universities Face New Whistleblower Liability Over Pay Rule

Jaclyn Jaeger September 13, 2011

Colleges and universities could be exposed to greater risk of whistleblower lawsuits under the False Claims Act, thanks to new rules adopted by the Department of Education this summer meant to restrict employee incentives for boosting enrollment and financial aid recipients. The changes end many safe-harbor provisions that existed for years and largely shielded schools from government action. Details inside.

False Claims Recoveries Top $3 Billion in 2010

Melissa Klein Aguilar November 29, 2010

The Obama Administration is making good on its promise to crackdown on fraud against the government generally, and public healthcare programs in particular, according to the latest False Claims Act recovery statistics.The Department of Justice collected $3 billion in civil settlements and judgments in cases involving fraud against the government...

False Claims Act Settlements Serve as Reminder on Pricing

Melissa Aguilar September 09, 2010

Recent settlements of allegations brought under the False Claims Act of defective pricing serve as a reminder to companies doing business with the government to tighten up their procedures around pricing.Cisco Systems and Westcon Group North America agreed to pay $48 million to settle claims they made misrepresentations to the...

Flurry of False Claims Activity Expected to Continue

Melissa Aguilar July 13, 2010

Bad news for those who receive any federal funds, directly or indirectly: It's been a busy first-half in the False Claims Act arena, and it's expected to stay that way, thanks to a combination of changes in the law, massive government spending, increased fraud enforcement resources, state legislative and enforcement...

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