Qui Tam

Government recovers over $3.1 billion in FY 2010 due to False Claims Act

By LaBovick Law

In Fiscal Year 2010, the U.S. Department of Justice recovered over $3.1 billion of America's stolen money largely due to valiant whistleblowers and the federal False Claims Act, According to the Consumer Interest Group,  Taxpayer's Against Fraud.

Over 80 percent of all successful False Claims Act recoveries are brought to the government by whistleblowers and their lawyers, making the law the most important tool the U.S. Government has in the war against fraud

80 percent health:
Approximately 80 percent of all fraud recoveries under the False Claims Act occur in health care, but significant amounts of fraud are also found in defense, education, transportation, and the oil and gas industries.
 
28 State False Claims Acts:
In order to increase the amount of money coming back to them, and to initiate their own recoveries, 28 states and the District of Columbia have now passed their own versions of the federal False Claims Act.

A few significant qui tam cases for Fiscal Year 2010 include the following:
 

• Allergan -  $600 M -($225 million to resolve civil allegations and a $375M criminal fine.)  9/1/2010 - Off-label marketing practices involving Botox
• AstraZeneca - $520 M-  4/27/2010 - Illegal marketing - anti-psychotic drug Seroquel 
• Novartis Pharmaceuticals
   $422.5 million ($237.5 M - Civil allegations and a $185 M criminal fine)  9/30/2010
  Unapproved promotion of Trileptal 
• Forest Laboratories -  $313 M - ($149M -Civil claims, a $150M criminal fine, and $14 M forfeiture.   9/15/2010
  Unlawful marketing - Levothroid and promoting Celexa and Lexapro for pediatric use
• Elan Corporation -  $203.5 M - 7/15/2010 - improper marketing of Zonegran
• Teva Pharmaceuticals - $169 M -  7/26/2010 -  Inflated prices reported to  Medicaid
• WellCare Health Plans -  $137.5 M- 8/9/2010 - Defrauded Medicare and Medicaid programs in several states
• Health Alliance of Greater Cincinnati and Christ Hospital -  $108 M -  5/21/2010
  Kickbacks to doctors in exchange for referring cardiac patients

Full post as published by Whistleblower Law Blog on October 29, 2010 (boomark / email).