If any health care provider is under the mistaken impression that there are no incentives for the filing of qui tam (whistleblower) lawsuits, think again.
Pursuant to the terms of the recent civil settlement agreement with Pfizer, the United States agreed to pay six whistleblowers a total of approximately $102 million in satisfaction of any rights that the whistleblowers might have under the False Claims Act to a share of the federal settlement proceeds of $2.3 billion. The largest single payment to a Pfizer whistleblower under the settlement was $51,500,999, while the smallest was a mere $2,354,582.
Just remember, all it takes is one person with valid information relating to fraudulent activities – such as fraudulent marketing or the payment of kickbacks – to put your company in the headlines. The lesson: strictly enforce your corporate compliance policies. Do not give whistleblowers any grounds for their chance at a payout.
If you have any questions regarding this e-Alert, please contact Carla Cox at 512.236.2040 or cjcox@jw.com.
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