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TURNING EMPLOYER WRONGS INTO EMPLOYEE RIGHTS

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False Claim Act Case?

We are pleased to report a $1,7000,000 settlement of yet another case filed under the Federal False Claims Act. In this case, qui tam action on behalf of the United States was filed against a group of doctors and various “rehabilitation” clinics such as the Advanced Occupational Rehabilitation, Inc. The plaintiffs argued that there was a plan afoot to defraud the US through its Office of Workers Compensation program, by the use of false claims. These claims were allegedly false for billings for unreasonable and unnecessary studies and procedures. The US claimed that the defendants operated multiple locations and clinics and were “work comp mills”. There was also the charge of non-existent readings of those tests. There were six schemes uncovered to defraud federal healthcare programs through these false billings. Danz routinely litigates these matters throughout California.

In many of our false claims cases, the origin of the case was the wrongful termination of the employee, also known as a whistle blower. We have alleged (in hundreds of cases, and dozens of different industries) ┬áthat our employee-clients were terminated for complaining about, or refusing to participate in, false billings. While health care fraud remains a leading source of false claims, aerospace, transportation, financial services also remain big players in financial fraud. Some of the world’s leading banks have paid billions (with a B) in settlements for routinely violating bank reporting laws. We routinely work in conjunction with the US Department of Justice as partners in the prosecution and settlement of these cases.

Recovery under federal false claims can result in literally millions of dollars for our clients. Generally, whistle blowers share up to 30% with the government, but that amount is the “max” and its more usual to see a 25-20% allocation. Defendants who settle or are found liable for federal false claims are usually liable for penalties of up to $11,000 per violation and three times the actual amount of the loss. Employment Attorney Los Angeles can help you determine if you have a case.