Jan. 9, 2015

Pharmaceutical Manufacturer Daiichi-Sankyo to Pay $39 Million to Resolve Allegations That It Paid Kickbacks to Physicians

Boston – Daiichi Sankyo, Inc., a global pharmaceutical company with its U.S. headquarters in New Jersey, has agreed to pay the United States and state Medicaid programs $39 million to resolve allegations that it violated the False Claims Act by using lavish meals and speaker program honoraria as kickback vehicles to induce physicians to prescribe the drugs Azor, Benicar, Tribenzor, and Welchol.

Jan. 8, 2015

Former V.I. Army National Guard Major Indicted for Theft of Public Funds and Related Charges

St. Thomas, USVI – A federal grand jury has returned a 38-count indictment charging former Virgin Islands National Guard Major Sherrymae Morales, 54, with theft of public money, wire fraud and false statements, United States Attorney Ronald W. Sharpe announced today. The indictment was returned on December 4, 2014, but was unsealed Wednesday when Morales appeared before U.S. Magistrate Judge Ruth Miller and entered a plea of not guilty. She was released on an unsecured $25,000 bond.

Jan. 7, 2015

Palm Beach County Gastroenterologist Pleads Guilty to Filing False Tax Returns

Palm Beach County resident and licensed physician in the State of Florida specializing in gastroenterology pled guilty today to filing corporate and personal income tax returns in which his income was underrepresented, representing a tax loss over the course of four years in excess of $6,000,000.00.

Jan. 6, 2015

Navy Commander Pleads Guilty to Accepting Cash and Prostitutes in International Bribery Scheme

SAN DIEGO, CA – U.S. Navy Commander Jose Luis Sanchez pleaded guilty to bribery charges in federal court today, admitting that he provided a government contractor with classified ship schedules and other internal U.S. Navy information in exchange for cash, travel and entertainment expenses and the services of prostitutes.

Dec. 22, 2014

Former Security Contractor CEO Agrees to Pay $4.5 Million to Settle Civil Claims

Keith Hedman, 55, of Arlington, Virginia, the former chief executive officer of a Virginia-based security contracting firm, Protection Strategies, Inc., (PSI), has agreed to pay $4.5 million to settle civil claims relating to his involvement in a fraudulent scheme to create a front company to obtain contracts through the Small Business Administration’s (SBA) Section 8(a) program. The Section 8(a) program allows qualified small businesses to receive sole-source and competitive-bid contracts set aside for minority-owned and disadvantaged small businesses.

Dec. 22, 2014

Defense Contractor Sentenced To 6 Months In Prison For Manufacturing Defective Aircraft Parts And Falsifying Safety Records

On Dec. 22, 2014, U.S. District Court Judge Diane J. Humetewa sentenced Malcom Robert Markson, 45, of Peoria, Ariz., to six months in prison. Markson previously pleaded guilty to the crimes of fraud involving aircraft parts and obstruction of federal investigation.

Dec. 19, 2014

Coos Bay Company, Its Owner and Four Employees Plead Quilty to Fraud on Defense Contracts

PORTLAND, Ore. — A Coos Bay business, its owner, and four employees were sentenced by the Honorable Michael J. Mosman in federal court on December 12, 2014 for their roles in a conspiracy to defraud the United States by supplying knock-off vehicle and aviation parts to the United States Department of Defense (DOD).

Dec. 19, 2014

Defense Contractor Agrees to Pay $27.5 Million to Settle Overbilling Allegations

Lockheed Martin Integrated Systems (LMIS) has agreed to pay $27.5 million to resolve allegations that it violated the False Claims Act by knowingly overbilling the government for work performed by LMIS employees who lacked required job qualifications.

Dec. 19, 2014

Iron Mountain Companies Pay $44.5 Million to Settle Alleged False Billings for Storing Government Documents and Data

Iron Mountain Incorporated and Iron Mountain Information Management LLC (collectively Iron Mountain) has paid $44.5 million to resolve allegations under the False Claims Act that Iron Mountain overcharged federal agencies for record storage services under General Services Administration (GSA) contracts, the Department of Justice announced today. Iron Mountain is a records storage company headquartered in Boston.

Dec. 18, 2014

Auburn Man Sentenced To 18 Months In Prison For Lying To Obtain Workers’ Compensation Funds

Bruce Lee Cearlock, 79, of Auburn, was sentenced today by United States District Judge Troy L. Nunley to 18 months in prison for making false statements to obtain federal employee’s compensation, United States Attorney Benjamin B. Wagner announced. Cearlock was also ordered to pay restitution of over $73,000.