Yes, when an applicant uses a “virtual office” as a principle place of business, a HUBZone certification can be grounds for a false claims act case. On April 8th, for example, the Department of Justice announced that a company agreed to pay $250,000 to resolve allegations that it made false statements to the Small Business Administration (SBA) to obtain certification as a Historically Underutilized Business Zone (HUBZone) company. Purpose of the HUBZone program The purpose of the HUBZone … [Read more...]
Facts & Figures: Learn More About The False Claims Act
The U.S. Department of Justice announced a record $5.69 billion in settlements and judgments from civil cases involving fraud and false claims against the government in fiscal year 2014. Of this total, the government paid out $435 million to the whistle blowers who exposed fraud and false claims by filing a qui tam complaint -- in 2014 alone. Growth In The Use Of The False Claims Act The number of qui tam suits rose from 30 in 1987, to 300 to 400 a year from 2000 to 2009, to more than 700 … [Read more...]
Net Neutrality: FCC Chairman Circulates Proposed Rules for Internet
FCC Chairman Tom Wheeler is circulating newly-minted draft rules for regulation of the Internet. He proposes to use some old-school utility regulation to keep the large infrastructure companies (read: cable and phone companies, like Comcast, Verizon and AT&T) from slowing down content on the Internet for their own competitive and monetary advantage. What this means in a practical sense is that companies like Comcast, which own the coaxial cable into people’s homes, wouldn’t be … [Read more...]
UM/UIM Insurance: An Ounce of Prevention Worth Gallons of Cure
Gas prices at the pump have dropped by half. A year ago gasoline hovered around $4 per gallon in North Alabama -- now it’s crashed below the $2 mark. Filling the tank has gotten a lot less painful, and I find myself driving more because of it. Since the average US household uses around 1,000 gallons of gas per year, that equates to a “savings” of $2,000. So, what would you do with an extra $2,000? I have a practical, driving-related suggestion for you – at least for just a few … [Read more...]
Blowing the Whistle on Securities Fraud
The Securities and Exchange Commission released an informative video by Sean McKessy, who is the Chief of the SEC's Office of the Whistleblower. As Mr. McKessy explains in the video embedded below, the SEC has its own special Whistleblower Program to award tipsters who report violations of securities laws. The Commission can award a whistleblower between 10%-30% of the money collected in a case. Under the SEC program, whistleblowers can even submit tips anonymously – but to submit an … [Read more...]
Junk Faxers and Fax Blasters Beware!
Anyone with a fax machine or fax account has received them – ads for vacations in Orlando, Las Vegas or Cancun; the latest mortgage rates and refinancing options -- fabulous offers all! Like autumn leaves, they fall from paper fax machines or clog the gutters of online fax accounts. Some ads are legit. Others, not so much. Junk Faxes Companies that send advertisements by fax, so-called “junk faxes,” to potential customers should pay close attention to the FCC’s latest rules. Otherwise, … [Read more...]
Boeing Pays $23M To Settle Charges of Fraudulent Overbilling the Air Force
October was a good month for whistleblowers who reported that their employers were submitting false claims for labor charges to the government. Boeing Overbilled the Air Force In another recent case alleging overbilling billing by a defense contractor, Boeing paid $23 million to settle a whistleblower lawsuit brought by current and former Boeing employees under the False Claims Act. The whistleblowers alleged that Boeing knowingly billed the Air Force for labor hours charged simultaneously to … [Read more...]
Defense Contractor Pays $13.7M for Overcharging Army — For 10 Years!
Defense contractors that submit false bills to the government face fines and prosecution by the Department of Justice. A recent case stretching back nearly 10 years shows the long reach of the False Claims Act. The Whistleblower Settlement By DRS DRS Technical Services, Inc. agreed to pay $13.7 million to settle allegations that it violated the False Claims Act by knowingly overbilling the government for work performed by DRS personnel who lacked the job qualifications required by the … [Read more...]
Bicycle and Car Accidents: I Hope You Don’t Need Our Help
“Give a man a fish and feed him for a day. Teach a man to fish and feed him for a lifetime. Teach a man to cycle and he will realize fishing is stupid and boring.” – Desmond Tutu No kidding, the Bishop really said that. Most everyone I know owns a bicycle. They fall generally into two categories: 1) slavishly devoted; or 2) occasional posers. While the first group is almost too small to matter, the posers are the vast, overwhelming majority. They never take the bikes off the wall hanger … [Read more...]
Red Bull Puts Wings On $10 For You After Class Action Suit
You may be entitled to $10 if you bought a Red Bull product since 2002, under the terms of a proposed settlement of a class-action lawsuit. The lawsuit was filed by customers who argued they were misled about the product's benefits, including the phrase, "Red Bull gives you wings." Red Bull agreed to pay the money — $13 million — to consumers to settle two consumer class-action lawsuits. Plaintiffs in the cases argued that the company's marketing misrepresented the functionality and safety … [Read more...]
