Fraud

Settlements Oct 27, 2016

Life Care Centers of America, Inc. Agrees to Settle Qui Tam Lawsuit Alleging That the Nursing Home Company Billed Medicare and TRICARE for Unnecessary Medical Services; Agrees to Pay $145 Million

The Department of Justice (DOJ) recently announced the settlement of a consolidated False Claims Act (FCA) lawsuit that was filed against private nursing home company Life Care Centers of America, Inc. (“Life Care”). The lawsuit alleges that, between January 2006 and February 2013, Life Care engaged in health care fraud by submitting false claims to Medicare and …

News Oct 26, 2016

How 75 Pending Lawsuits Could Distract a Donald Trump Presidency

Among the many Trump lawsuits, the most problematic could be the Trump University cases. Former students from across the country have sued in two class actions, accusing the school of charging them up to $35,000 and lying about the value of the lessons they would receive. New York Attorney General Eric Schneiderman sued in 2013 and has since described Trump University as a “fraud” and a “scam.”

Lawsuits Sep 19, 2016

Twitter Shareholder Sues Company for Misleading Growth Predictions

Twitter is being sued by a shareholder over claims that it misled investors about its prospects for growth. Doris Shenwick has accused the company of making false statements about the company’s predicted user count and user engagement levels, causing wild fluctuations in Twitter’s stock prices. Shenwick claims Twitter executives misled investors in November 2014 when they promised an increase …

Legal News Sep 16, 2016

HSBC Wins Dismissal of Madoff Customer Class Action in U.S.

Jonathan Stempel| NEW YORK NEW YORK HSBC Holdings Plc on Thursday won the dismissal of a lawsuit by former Bernard Madoff customers who accused the British bank of fuelling his massive Ponzi scheme by ignoring red flags and encouraging “feeder funds” to invest with him. U.S. District Judge Laura Taylor Swain in Manhattan said a federal law governing securities fraud cases prevented the …

Settlements Aug 29, 2016

PwC Reaches Mid-Trial Deal in Lawsuit by Taylor Bean Trustee

The logo of PricewaterhouseCoopers is seen on the local offices building of the company in Luxembourg, April 26, 2016. REUTERS/Vincent Kessler (Reuters) – PricewaterhouseCoopers has settled a lawsuit accusing the auditing firm of failing to detect the fraud that brought down Taylor, Bean & Whitaker Mortgage Corp in 2009, a lawyer for the mortgage lender’s bankruptcy trustee said on Friday. The …

Lawsuits Aug 20, 2016

Valeant Pharmaceuticals Faces New Fraud Lawsuit Filed by Former Investor

The pharmaceutical company allegedly shielded their branded drugs from generic competition and inflated their revenues using a fraudulent scheme. T. Rowe Price also declined to comment. The lawsuit points to Valeant’s alleged decisions to massively increase prices of so-called “orphan drugs” to treat rare medical conditions that face little or no competition and “back door” efforts to receive …

Legal News Aug 17, 2016

Class Action Alleging Law School Fraud Shot Down by Appeals Court

A federal appeals court has dealt the latest blow to a lawsuit alleging law school students were defrauded with misleading employment statistics. The Third U.S. Circuit Court of Appeals on Tuesday upheld a lower-court’s ruling that Widener University School of Law graduates don’t have enough in common to sue the school through a class action.

Lawsuits Aug 16, 2016

PwC Faces Record $5.5bn Lawsuit Over Mortgage Underwriter Collapse

The complainant is Taylor, Bean & Whitaker (TBW), which was a top-10 wholesale mortgage lending firm. The trustees of the company are accusing PwC of negligence in their audits of TBW’s lender, Colonial Bank. In an agreement between the top management of the borrower and the bank, starting from 2002, TBW chairman Lee Farkas sent mortgage data to Colonial Bank for fake loans or those the company …

Lawsuits Aug 10, 2016

Lawsuit Over Audits Seeks $5.5B From PricewaterhouseCoopers

Accounting giant PricewaterhouseCoopers squared off Tuesday in court with lawyers for a defunct mortgage company’s creditors and investors over a $5.5 billion lawsuit, which claimed the Big Four firm failed through years of audits to uncover massive fraud at a failed Alabama bank. The estimated $21 billion fraud at Colonial Bank of Montgomery, Alabama, was orchestrated by top executives at the …

Settlements Jun 28, 2016

10,000 Arizona Vehicles Eligible for VW Settlement

The German automaker agreed to buy back or fix “clean diesel” cars and compensate the owners for their trouble. The affected cars include 2009 through 2015 Volkswagen TDI diesel models of Jettas, Passats, Golfs, and Beetles as well as the TDI Audi A3. Owners will be paid full, pre-scandal fair market value for their vehicle, in addition to a cash payment of at least $5,100.