Subject to Inquiry

Subject to Inquiry


Government Investigations and White Collar Litigation Group

Category Archives: Whistleblowers

Subscribe to Whistleblowers RSS Feed
Anti-Corruption, Charging, Compliance, Corporate Compliance, Dodd-Frank, DOJ Policy, Enforcement Actions, FCPA, FCPA Investigations, Non-Prosecution Agreements, Regulation, SEC, SEC Enforcement, Securities Litigation, Sentencing, UK Bribery Act, Whistleblowers, White Collar Crime

Biomet FCPA Announcement Highlights Distributor-Related Risks

Last week, Biomet Inc. announced in a filing with the U.S. Securities and Exchange Commission (SEC) that instead of its 2012 deferred prosecution agreement with the U.S. Department of Justice (DOJ) regarding violations of the U.S. Foreign Corrupt Practices Act (FCPA) expiring this week, the company would be monitored under it for an additional year.… Continue Reading
Compliance, Corporate Compliance, Dodd-Frank, Enforcement Actions, SEC, SEC Enforcement, Securities Litigation, Uncategorized, Whistleblowers, White Collar Crime

SEC Awards $500K to Company Officer Whistleblower

On Monday, March 2, the Securities and Exchange Commission (SEC) announced that it will award between $475,000 and $575,000 to a corporate officer who reported “high quality, original information” about a securities fraud. The SEC’s whistleblower program was adopted under the Dodd-Frank Act of 2010 and rewards high quality, original information that results in enforcement… Continue Reading
Compliance, Dodd-Frank

Revisiting the Conflicts Minerals Rule

Companies listed in the U.S. are required by Section 1502 of the Dodd-Frank Act to report whether they manufacture products that incorporate so called conflict minerals (defined as gold, tin, tungsten and tantalum coming from the Democratic Republic of Congo and its neighboring countries). McGuireWoods partners Yves Melin and Alex Brackett, along with Estelle Levin –… Continue Reading
Corporate Fraud, DOJ Policy, False Claims Act, Qui Tam, Uncategorized, Whistleblowers

With Record-Setting False Claims Act Recoveries, What Will DOJ Do for an Encore?

Last week, the Department of Justice (DOJ) announced that it had collected a record $5.69 billion in False Claims Act (FCA) settlements and recoveries over the past year, marking the first time that recoveries have breached the $5 billion threshold. The DOJ press release announcing this accomplishment highlighted two key areas of recovery: healthcare and… Continue Reading
Compliance, Dodd-Frank, Enforcement Actions, Financial Regulation, Regulation, SEC, SEC Enforcement, Whistleblowers

Taking Aim – the SEC’s Continued Focus on Hedge Funds

“It is difficult to overstate how much the regulatory landscape for hedge fund managers has changed over the past four years.” So said Norm Champ, director of the Securities and Exchange Commission’s Division of Investment Management, in a recent speech wherein he outlined how the SEC has built on its newfound authority to regulate private… Continue Reading
Dodd-Frank, SEC, Whistleblowers

Second Circuit Decides Dodd-Frank Does Not Apply Extraterritorially, Skips Addressing Whistleblower Protection for Internal Reporting

The Dodd-Frank Act prohibits employers from retaliating against employees who act as whistleblowers by providing information related to a violation of the securities laws to the Securities and Exchange Commission (SEC) in a manner established by the SEC. Dodd-Frank Act, 15 U.S.C. § 78u-6(h)(1). The jurisdiction and scope of this law have been tested recently… Continue Reading
Corporate Compliance, False Claims Act, Qui Tam, Whistleblowers

D.C. Circuit Protects Scope of Privilege in Internal Investigations

On June 27, in In re Kellogg Brown & Root, Inc.,1 the United States Court of Appeals for the D.C. Circuit quickly allayed the fears of government contractors and other businesses concerned by U.S. District Judge James S. Gwin’s March 6, 2014, decision2 that created a “but for” threshold test to determine whether the attorney-client… Continue Reading
False Claims Act, Qui Tam

In Fraud Suit Against Lance Armstrong, Court Rejects Application of Wartime Suspension of Limitations Act to False Claims Act

In a decision last Thursday, the United States District Court for the District of Columbia held that the Wartime Suspension of Limitations Act (WSLA) does not apply to the current version of the False Claims Act (FCA). United States ex. rel. Landis v. Tailwind Sports Corporation, No. 10–cv–00976 (RLW), 2014 WL 2772907, at *39-42 (D.D.C.… Continue Reading
Corporate Compliance, SEC, Whistleblowers

Who is Protected by the Sarbanes-Oxley and Dodd-Frank Whistleblower Anti-Retaliation Provisions? The Supreme Court and SEC Weigh In.

The Sarbanes-Oxley Act (“Sarbanes-Oxley”) and Dodd-Frank Wall Street Reform and Consumer Protection Act (“Dodd-Frank”) whistleblower anti-retaliation provisions have been the subject of great debate as to what categories of individuals and activities are protected. These issues have developed significantly in recent weeks with the Supreme Court’s decision in Lawson v. FMR LLC, involving the application… Continue Reading
False Claims Act, Qui Tam

Fourth Circuit Orders $24 Million in FCA Civil Penalties Despite No Proven Economic Harm

Companies that conduct business with the government should pay attention to a recent ruling from the Fourth Circuit. The ruling opens the door to increased False Claims Act (FCA) liability through the FCA’s civil penalties provision. Through this provision, the FCA imposes civil penalties of $5,500 to $11,000 for each false claim submitted to the… Continue Reading
Dodd-Frank, News, SEC, Whistleblowers

The 2013 Dodd-Frank Whistleblower Program Annual Report

In November, the SEC Office of the Whistleblower (“OWB”) released its 2013 Annual Report on the Dodd-Frank Whistleblower Program (the “Report”). The Report details the number of whistleblower tips and complaints received and the amount of whistleblower awards made during fiscal year 2013.  Whistleblower Complaints and Tips FY 2013 According to the Report, the SEC… Continue Reading
Compliance, Dodd-Frank, SEC, SEC Enforcement, Securities Fraud, Securities Litigation, Whistleblowers

A New Era of Openness, or Open Season on Hedge Funds?

In a recent speech before the Managed Funds Association, U.S. Securities & Exchange Commission (SEC) Chair Mary Jo White discussed what she called a “new era of transparency and openness” for the private funds industry, including hedge funds. Her address largely provided an overview of two significant pieces of legislation, namely, the Dodd-Frank Act, which… Continue Reading
Corporate Compliance, False Claims Act, Qui Tam, Whistleblowers, White Collar Crime

Self-Reporting Violations to OIG in Healthcare Cases: Recent Developments

Recent developments in the Department of Health and Human Services (HHS) Office of the Inspector General (OIG) and Congress have changed the calculus of healthcare providers by making self-disclosure easier and more beneficial, while simultaneously providing OIG with greater ability to punish companies and individuals who fail to report but then after a government investigation… Continue Reading

Documentation Critical to Dodd-Frank Compliance Under Proposed Supervisory Guidance

Financial institutions should be prepared to increase their emphasis on documentation to avoid running afoul of federal regulatory authorities. Last week the OCC, Federal Reserve and FDIC issued proposed joint supervisory guidance for company-run stress testing under the Dodd-Frank Act (DFA).[1] Section 165(i)(2) of the DFA mandates annual internally run stress testing for financial companies… Continue Reading
CFPB, Dodd-Frank, SEC Enforcement, Securities Fraud, Securities Litigation, Whistleblowers, White Collar Crime

CFPB Refers First Case for Criminal Prosecution

On May 1, 2013, federal prosecutors in the Southern District of New York brought the first criminal case based on a referral from the Consumer Finance Protection Bureau (CFPB) in United States v. Mission Settlement Agency. In the recently unsealed indictment, federal authorities charge Mission Settlement Agency (Mission) and four of its employees—including Mission’s principal,… Continue Reading
False Claims Act, Qui Tam

Washington Becomes 28th State With Stepped Up Fraud Law

          Editor’s note:  The following entry was written by Jeffrey Rogers, a partner in the firm’s Chicago office.   Late last month, Washington State Governor Christine Gregoire signed into law the state’s first Medicaid Fraud False Claims Act.  With the signing, Washington became the twentieth state to pass such legislation The incentive for Washington was financial, as… Continue Reading
Dodd-Frank, Whistleblowers

CFTC Appoints Chief of New Whistleblower Office

The Commodity Futures Trading Commission announced last week that Vincente Martinez has been appointed as the first director of the Commission’s recently created Whistleblower Office.  According to CFTC Chairman Gary Gensler: The CFTC’s Whistleblower Office, which the agency implemented under the Dodd-Frank Act, provides the public an avenue to help catch misconduct in the markets… Continue Reading