United States Attorneys’ Offices recently announced a number of False Claims Act (FCA) settlements arising out of the Paycheck Protection Program (PPP). These settlements reveal several trends that PPP loan recipients should be aware of.Continue Reading Recent Deluge of Paycheck Protection Program False Claims Act Settlements
FY 2024 saw continued growth in False Claims Act enforcement, with a record year for new qui tam and government-initiated actions, and the highest total recovery in three years. Enforcement of pandemic-related fraud and cybersecurity noncompliance increased, and health care, procurement, and small business fraud violations were again priority areas. A groundbreaking opinion from the
This week’s episode covers cybersecurity updates, a proposed rule regarding prohibition on semiconductors produced by certain Chinese manufacturers, DOL guidance entitled “Artificial Intelligence and Equal Employment Opportunity for Federal Contractors,” and two settlements under the civil False Claims Act, and is hosted by Peter Eyre and Yuan Zhou. Crowell
On March 7, 2024, Deputy Attorney General (DAG) Lisa Monaco delivered remarks at the American Bar Association’s 39th National Institute on White Collar Crime announcing a new Department of Justice (DOJ) pilot program that incentivizes whistleblowers to report corporate misconduct by offering monetary rewards. Likening the program to “the days of ‘Wanted’ posters across the Old West,” DAG Monaco explained that individuals who help DOJ discover otherwise unknown, “significant” corporate or financial crime could receive a portion of the resulting forfeiture. This program will encourage whistleblowers to report a broad range of criminal activity by bridging the divide between DOJ’s priorities and other whistleblower mechanisms such as the False Claims Act’s qui tam provision (which is only available for fraud against the government), and programs at the Securities and Exchange Commission (SEC), Commodity Futures Trading Commission (CFTC), and other federal agencies (which only cover misconduct within their respective jurisdictions). By placing a bounty on corporate actors, this DOJ pilot program—which will be developed by the Department’s Money Laundering and Asset Recovery Section (MLARS)—underscores the need for companies to take stock of their compliance programs and enhance their internal reporting infrastructure. Continue Reading DOJ Offers Cash “Carrot” to Whistleblowers; Foreshadows “Stick” of More Corporate Enforcement
A recent decision in a non-intervened qui tam suit in the Northern District of Georgia provides an example of a defendant threading the needle to avoid dismissal of its counterclaims despite those counterclaims arguably implicating the conduct that the relator alleged violated the False Claims Act (FCA). It also stands as a rare instance where a company’s counterclaims against an FCA relator have survived early court scrutiny and, as such, provides FCA defendants with a potential strategy to combat opportunistic relators.Continue Reading Counterclaims Against Compliance-Officer-Turned-Relator Survive Motion to Dismiss
In this episode, Steve Byers, Jason Crawford, and Agustin Orozco discuss the intersection between False Claims Act investigations and parallel criminal proceedings. “Let’s Talk FCA” is Crowell & Moring’s podcast covering the latest developments with the False Claims Act.
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In this episode, Jason Crawford, Agustin Orozco, and Erin Rankin look back at one of the more noteworthy settlements of 2023—the $377M settlement by Booz Allen Hamilton to resolve allegations arising out of the company’s purported non-compliance with Cost Accounting Standards. “Let’s Talk FCA” is Crowell & Moring’s
This week’s episode covers a Federal Circuit decision about jurisdiction under the Contract Disputes Act, a claim for additional costs relating to COVID related delays, and a False Claims Act settlement touching on cybersecurity and self-disclosure, and is hosted by Peter Eyre and Yuan Zhou. Crowell & Moring’s “Fastest 5 Minutes” is a biweekly podcast
A False Claims Act (FCA) settlement recently announced by the U.S. Department of Justice stands at the intersection of two evolving trends: DOJ’s increasing focus on cybersecurity lapses by government contractors as part of its Civil Cyber-Fraud Initiative, and DOJ policies incentivizing corporations to voluntarily self-disclose violations of federal law.
On September 5, 2023, DOJ announced a $4 million settlement with Verizon Business Network Services LLC (Verizon) addressing allegations that Verizon violated the FCA because certain telecommunications services it provided to federal agencies under its General Services Administration (GSA) contracts did not comply with applicable cybersecurity requirements, namely the Office of Management and Budget’s Trusted Internet Connections (TIC) initiative. DOJ specifically alleged that Verizon’s Managed Trusted Internet Protocol Service (MTIPS)—an information technology service that allows federal agencies to securely connect to public internet and external networks—did not comply with three security controls in the Department of Homeland Security’s TIC Reference Architecture Document, including a control that required the use of FIPS 140-2 validated cryptography. The Verizon settlement represents the latest example of DOJ’s continued focus on cybersecurity cases, a trend that we believe will only continue to escalate going forward.Continue Reading Civil Cyber-Fraud Settlement Highlights Potential for Cooperation Credit
In this episode, Jason Crawford, Olivia Lynch, and Agustin Orozco discuss government investigations and enforcement trends regarding pandemic relief fraud. “Let’s Talk FCA” is Crowell & Moring’s podcast covering the latest developments with the False Claims Act.
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