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Mississippi Qui Tam Lawyer Discusses The False Claims Act and Whistleblowers

A whistleblower is a person who exposes his or her employer of engaging in conduct that is illegal or harmful to the public. Reporting the illegal conduct of one’s own employer can be frightening, and can have consequences. In order to encourage people to come forward when they have incriminating information about their employers, there are certain laws that protect whistleblowers. If a whistleblower is reporting fraudulent acts taken against the United States government, the False Claims Act can be used to both protect and reward the whistleblower.

What is the False Claims Act?

The False Claims Act, also referred to as “Lincoln’s Law,” has existed since 1863, when it was enacted to combat fraudulent acts committed against the Federal Government. The law allows an individual to sue on behalf of the government in what is called a “qui tam” action.

What types of violations are included under the False Claims Act?

The False Claims Act can be used to sue individuals who falsify records or make false statements in order to either get money paid to them from the government that they are not actually owed, or to avoid paying all or some of the money that they owe to the government. Additionally, if a person has temporary possession of something that is government property, and fails to return the property in its entirety, they can be sued under the False Claims Act. One of the most common areas in which people commit violations of the False Claims Act is in Medicare and Medicaid fraud. For example, healthcare facilities might bill Medicare for services that were never actually provided to the patient, or that were completely unnecessary.

What does the whistleblower get in return for filing the claim?

When a whistleblower files a “qui tam” action, he or she has the possibility to recover an award if the claim is successful. While the act originally allowed whistleblowers to collect 50% of the damages, it has since been reduced to between 15 and 30%. In some cases, whistleblowers are also protected from retaliation. The False Claims Act might require that an employee who was fired for their actions be reinstated, receive double back pay, and damages for the cost of litigating the claim, and attorney fees.

How does a “qui tam” action take place?

In a “qui tam” action, the individual reporting the violations files a suit against the violating party in Federal Court. When the suit is first filed, only the person filing the suit, referred to as the “relator,” and the government will know what the claim is about. It is then up to the government to decide whether or not to take over the claim. If the government does not take over the claim, then the relator may proceed with the case themselves. If the government does take over the claim and is successful, the relator will receive an award equal to 15-25% of what the government recovers. I the relator continues after the government chose not to intervene, then he or she can collect up to 30% of the award.

If you are in the position to report fraud on behalf on your employer, it is important that you seek the advice of an experienced attorney. There is a lot at stake in these cases, and an attorney can help you figure out the safest course of action to take given the circumstances that you are facing.  Contact Barrett Law PLLC today at (601) 790-1505 to learn more about how our seasoned Mississippi Qui Tam Lawyer can make a difference for you.

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Mississippi Qui Tam Lawyer Discusses Environmental Whistleblowers

Most federal environmental laws were enacted between the 1960’s and 1980’s, although statutes designed to protect the environment, including waterways and harbors have existed for much longer. It is important to remember that many of these laws are not just intended to protect wildlife, but are designed to protect people from being exposed to contaminated drinking water, dangerous chemicals, and polluted air. When companies violate environmental laws, they could be exposing us all too serious health hazards.

In many cases, a violation of an environmental protection law will only be discovered by an employee of the violating company. This is why the environmental statutes provide whistleblower protections to employees who report conduct that violates the law.

Federal Environmental Statutes

There are seven federal statutes that designed to protect the environment, and that provide whistleblower protections. These are:

  • The Comprehensive Environmental Response, Compensation and Liability Act of 1980 (CERCLA). This law sometimes referred to as the “Superfund Law,” creates regulations for disposing of and removing hazardous waste.
  • The Energy Reorganization Act, which is concerned with safety issues related to nuclear
  • The Water Pollution Control Act (WPCA, often called the “Clean Water Act”), which regulates water pollutants, discharge into waterways and creates standards for water quality.
  • The Safe Drinking Water Act (SDWA) set standards for drinking water quality and protects the public supply of drinking water.
  • The Toxic Substances Control Act (TSCA) allows the Environmental Protection Agency (EPA) to place restrictions on chemicals and to set testing, reporting and recordkeeping requirements for chemicals.
  • The Clean Air Act allows the EPA to regulate air emissions and set air quality standards in order to protect the public from hazardous air pollution.
  • The Solid Waste Disposal Act (SWDA) sets regulations for the disposal and handling of hazardous and non-hazardous solid waste.

When a Whistleblower is protected

Among other things, employees are protected when they report violations of the law to the EPA, report to a supervisor concerning the violation, report to a media outlet, or refuse to partake in the illegal activity. The protections apply to formal employees but can extend even to independent contractors.

If an employee reports a suspected violation but turns out to be mistaken, that employee can still be covered by whistleblower protections. This is because the laws are designed to encourage people to speak out, and not to make people feel as though they have to conduct their own investigation before reporting the violation.

It is possible to engage in activities that would not be considered protected. For instance, if an employee engaged in a violent encounter with his or her supervisor over the violation occurring, and subsequently loses his or her job, the protections might not apply.

What the laws protect against

Employees are protected from “adverse actions” that are taken in retaliation for their reporting of a violation. Thus if an employee is fired, demoted, receives a pay cut or is looked over for a promotion as a result of their reporting of the violation, they can file a complaint with OSHA.

Of course, the employee will have to show a causal relationship between the adverse action and the whistleblowing activity. It is obviously unlikely that an employee receives a letter stating that they are being terminated because they reported the company to the EPA though, so inferences can be made. If you received positive work reviews for three years, and then were terminated shortly after speaking out about a violation, that would be evidence that the firing was connected to your status as a whistleblower.

Contact Barrett Law PLLC today

To learn more about how the seasoned Mississippi Qui Tam Lawyer at Barrett Law PLLC can help you, contact the firm at (601) 790-1505 today.

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Potential Whistleblowers, Proceed with Caution, Warns Mississippi Qui Tam Lawyer

Potential Whistleblowers, Proceed with Caution, Warns Mississippi Qui Tam Lawyer

Some of the most famous whistleblowers have changed the course of history by bringing down powerful political figures, exposing violations of human rights and sending corporations into bankruptcy. While most whistleblowers do not become household names, there are often violations of ethics and laws that would go unchecked and unpunished if not for people willing to risk themselves to stop a wrongful practice from continuing.

Without whistleblowers, corporations could violate safety and environmental regulations, and defraud customers, and governments could violate people’s rights and cheat our democracy. The importance of whistleblowers is recognized by many laws and statutes that are designed to protect whistleblowers from workplace retaliation. Without protections, many people would be reluctant to expose their employers because they would fear losing their job, being demoted or not being promoted when they deserved to be.

Even though whistleblowers are protected, it is possible that a potential whistleblower could go about attempting to expose his or her employer in a way that would be a legal violation in and of itself. It is important that whistleblowers speak out, but they should do so in ways that protect themselves.

Evidence

If you believe you are in the position to be a whistleblower, you probably have some evidence of wrongdoing. Perhaps you have emails or other documentation of the things that you believe amount to a violation. On the other hand, you might wish to find more evidence to support your case before you come forward. In attempting to collect evidence of your employer’s violations, you could end up breaking the law yourself. If you video, record, or photograph co-workers without their knowledge, this could get you into trouble in some instances. Additionally, if you signed a confidentiality agreement with your employer, you should be careful that you are not violating that agreement before you have done everything to protect yourself. At the same time, you could find yourself in trouble for partaking in the illegal actions of your employer, even if you are only doing so in order to get more evidence.

Your best bet is to speak with a whistleblower attorney in order to determine whether you should seek more evidence, and what actions you can and cannot take in order to collect more evidence.

Loose lips

Another way you can find yourself in trouble is by speaking casually to friends or colleagues about the violations that are occurring. In these cases, you run the risk of having your intentions exposed to your employer and potentially having some of the evidence disappear before the wrongdoers are caught. It is also possible that someone might decide to expose the violation before you, putting your whistleblower protections at risk. There are also some claims that offer a whistleblower a reward for coming forward. This could entice someone to speak out especially if they believe that you are going to anyway.

If you believe you have witnessed violations of the law that need to be exposed, you should reach out to an experienced whistleblower attorney in order to determine the best and safest course of action for you to take.   Contact the seasoned Mississippi Qui Tam Lawyer at Barrett Law PLLC now at (601) 790-1505 to learn more about your legal options.

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Whistleblower at Medical Device Company to Receive $51 Million for Disclosing Bribe & Kickback Scheme

Olympus Corp. of the Americas (OCA), which is the largest distributor of endoscopes in the country, has agreed to pay over $632 million to settle criminal and civil complaints stemming from the practice of disbursing kickbacks to hospitals and doctors. The scheme was designed to bribe medical providers to use the company’s endoscopes according to a press release from the Justice Department’s Criminal Division.

The civil part of the case stems from a lawsuit filed by the former compliance officer at OCA, John Slowik, pursuant to the False Claims Act at the federal level and in multiple states. Under the Federal False Claims Act, whistleblowers are authorized to initiate a lawsuit on behalf of the federal government and share in the financial recovery. The Department of Justice elected to intervene in the case and alleged that OCA engaged in a scheme violating the Anti-Kickback Statute, which forbids payment to doctors and hospitals that induce purchases paid for by federal health care programs like Medicare. The settlement includes an admission by OCA that it engaged in practices in violation of the statute, such as providing kickbacks that motivated the submission of false claims to Medicare and Medicaid. The medical supply distributor will pay $267.3 million to the federal government and $43.5 million to various states to resolve the civil portion of the legal action. The whistleblower will receive over $51 million for his role in disclosing the wrongdoing and bringing the legal action.

The settlement of the criminal portion of the suit will result in OCA agreeing to pay an additional $312.4 million in criminal penalties. The combined civil and criminal penalties amount the largest payout under the Anti-Kickback Statute and the most substantial amount paid by a medical device company in history. The subsidiary of OCA also has agreed to pay $22.8 million to settle criminal allegations under the Foreign Corrupt Practices Act (FCPA) in Latin America.

The criminal complaint alleged a number of specific practices that comprised the kickback/bribery scheme, which include the following:

  • Stalled a $50,000 research grant pending another medical facility’s decision to purchase OCA equipment
  • Physician in a key position at New York’s medical center being granted access to $400,000 OCA equipment for his private practice in exchange for influencing purchase of OCA equipment
  • Provision of a $5,000 grant to a hospital as an incentive to facilitate purchase of $750,000 in medical devices
  • Providing three physicians with a trip to Japan to reward the doctors for changing to OCA equipment

The Anti-Kickback Statute is designed to prevent improper relationships between medical device companies and health care providers that involve financial enticement to discount the patient’s medical needs and ignore lower cost alternatives. When such financial bribes encourage the use of overpriced medical equipment, the price of health care rises for all consumers. The recovery represents a substantial recoupment of public funds and a warning to medical equipment companies against such unethical and unlawful practices.

In addition to record financial penalties, OCA has agreed to the following conditions:

  • Implementation of a program requiring executives to forfeit up to three years of performance pay if they engage in similar misconduct.
  • Mandatory improvement of its compliance program and training
  • Board of Directors and CEO annually certifying the compliance program is functioning properly
  • Establishment of a confidential hotline for employees and patrons to report misconduct.

If you have become aware of fraud or other misconduct by your employer, our Mississippi Qui Tam Lawyer represents whistleblowers who disclose illegal and unethical conduct that depletes public funds. At Barrett Law, we are here to help. Contact our firm today at (601)790-1505 to schedule your free consultation, so we can answer any questions you may have regarding filing your claim.

 

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Mississippi Qui Tam Lawyer Discusses Senate Leaders’ Attempts to Provide More Aggressive Safeguards for FBI Whistleblowers

According to a report drafted by the U.S. Attorney General last year, supplemental protections for FBI whistleblowers were being considered to safeguard employees that disclose misconduct. The report specifically requested the following changes: (1) authorizing equal access for witnesses employed by the agency; (2) granting whistleblowers the right to obtain compensatory damages if they are subjected to retaliation; (3) allowing disclosures to be made to a broader range of persons. When the report was generated, leading members of the Senate Judiciary Committee, including Chuck Grassley and Ron Wyden commented positively on the recommended reforms.

Since those initial promising developments, Chuck Grassley and ranking member of the Senate Judiciary Committee Patrick Leahy have introduced the Federal Bureau of Investigation Whistleblower Protection Enhancement Act of 2015. The proposal, which was introduced at the end of the year, broadens safeguards for employees who make protected disclosures and strengthens the processes designed to prevent retaliation against whistleblowers. The sponsors of the bill have publicly noted that the law would encourage FBI employees who learn of fraud, abuse, and waste by the FBI to come forward to protect the public. They emphasize that without adequate protections, employees might feel compelled to turn a blind eye to such improper practices out of fear of experiencing personal repercussions.

The law in needed because the Federal Whistleblower Protection Act exempts both member of the FBI and employees within the intelligence community from protection against reprisals for disclosing agency misconduct. If the bill becomes law, prospective whistleblowers would be authorized to make protected disclosures to the Office of the Inspector General at the FBI. The IG will have the authority to impose a stay of any adverse action against the employee if there is evidence to support a reasonable belief that the punitive measures were retribution for blowing the whistle on a protected disclosure. The law provides further protections for federal whistleblowers at the FBI because disputes are adjudicated by an Administrative Law Judge (ALJ) rather than internally within the Department of Justice. Employees can appeal an adverse decision by the ALJ to the U.S. Court of Appeals.

Although it is premature to determine whether the bill will become law, the proposed legislation evidences a willingness by some members of Congress to offer additional protections to federal employees who disclose misconduct by the FBI. The step is particularly important because it focuses on employees of the federal government who currently have little or no protection from retaliation for disclosing fraud, waste, and abuse by the agency. The enactment of this proposed legislation would provide a powerful incentive for FBI employees who are aware of illegal activity and wrongdoing to disclose the information they have learned.

If you are an employee of the state or federal government, our law firm represents whistleblowers in both the private and public sector. At Barrett Law, we are here to help individuals who have the courage to step forward and expose such wrongdoing. Our experienced Mississippi Qui Tam Lawyer works diligently to pursue the maximum compensation for our clients. Contact our firm today at (601)790-1505 to schedule your free consultation, so we can answer any questions you may have regarding your claim.

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OSHA Orders Reinstatement, Awards Damages to Gaines Motor Lines, Inc., Employees

On November 13, 2013, the United States Department of Labor, Office of Public Affairs issued a press release announcing that one of its enforcement arms, the Occupational Safety and Health Administration (OSHA), awarded damages to four former employees of Gaines Motor Lines, Inc., of just over $1 million.  Gaines Motor Lines, Inc., is a North Carolina-based freight company offering shipping and supply-chain services to a variety of businesses.  The company has terminal locations in North Carolina, South Carolina, New Jersey, and Rhode Island.  Gaines Motor Lines, Inc., serves the Southeast and the Eastern seaboard.  The company has approximately 100 employees and 60 trucks in its fleet.

OSHA ordered Gaines Motor Lines, Inc., and two of its key employees—Tim Gaines and Rick Tompkins–to pay compensation to four former employees whom OSHA determined were terminated in violation of whistleblower protections of the Surface Transportation Assistance Act.  The compensation includes back wages, interest, and a total of $675,000 in punitive damages.  Three of the four former employees (one is deceased) were also awarded reinstatement.  According to OSHA’s Preliminary Order, the four employees who were terminated by Gaines Motor Lines, Inc., were terminated for participating in an inspection of one of the company’s facilities conducted by the United States Department of Transportation, Federal Motor Carrier Safety Administration.  The inspection indicated that some drivers of Gaines Motor Lines, Inc., had been falsifying logs and had poor driving records.  Assistant Secretary of Labor, Dr. David Michaels, stressed that employees must feel able to raise safety concerns without fear of retaliation and that undermining employees’ cooperation in inspections was unacceptable.

Gaines Motor Lines, Inc., immediately issued a statement indicating that the company intended on appealing the OSHA order.  The company indicated that the former employees were terminated as part of a larger reduction in force and also suggested that the former employees may have been discharged because of poor performance.  The statement also suggested that one of the four former employees requested to be laid off.  The company further cited its long history in the community and its concern with safety in defense of itself.

OSHA’s award in this case reinforces the scope of remedial and other actions that are afforded to it under whistleblower protection enforcement laws.  OSHA is the primary agency charged with enforcing whistleblower provisions of numerous federal statutes.  Any individual who believes he or she has been retaliated against for any activities protected by whistleblower statutes can report the violation to OSHA.  Depending upon the Act under which the violation occurred, the employee has between thirty and one hundred eighty days to report the retaliation action.   Upon receipt of a complaint, OSHA notifies the employer and will attempt conciliation.  If these efforts are unsuccessful, OSHA will investigate the allegations.  If it determines that there has been a violation, it can order reinstatement, payment of back wages, and reimbursement to the employee for attorneys’ fees.  Information about the various whistleblower provisions that OSHA enforces can be found at http://www.dol.gov/compliance/laws/comp-whistleblower.htm.

If you or a loved one has been retaliated against due to the raising of concerns about practices by your or your loved ones’ employee, Barrett Law PLLC can help you understand the rights and the protections to which you may be entitled.  This is true regardless of whether you are an employee of the federal, state, or local government or a private company.  Our firm has extensive experience representing individuals in all types of whistleblower lawsuits.  Contact us today at (601) 790-1505 to schedule an initial consultation.

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