SEC Issues Over $1.1 Million to Multiple Whistleblowers

SEC

The Securities and Exchange Commission today announced awards totaling more than $1.1 million to five whistleblowers who provided high-quality information that led to successful enforcement actions.

In the first order, the SEC awarded three whistleblowers almost $500,000 in connection with two related enforcement actions. The first whistleblower provided information that prompted the opening of an investigation. The second and third whistleblowers provided information that significantly contributed to the success of the actions, and contributed additional, helpful assistance to the investigative staff. read more »

U.S. federal investigators probe business-card sales practices at AmEx

REUTERS

Federal investigators are probing business-card sales practices at American Express Co, the Wall Street Journal reported on Thursday, citing people familiar with the matter.

The investigators are looking into whether AmEx allegedly "used aggressive and misleading sales tactics to sell cards to business owners and whether customers were harmed," read more »

Health Care Company Indicted for Labor Market Collusion

DOJ

A federal grand jury returned a two-count indictment charging Surgical Care Affiliates LLC and its related entity (collectively SCA), which own and operate outpatient medical care centers across the country, for agreeing with competitors not to solicit senior-level employees, the Department of Justice announced today.  These are the Antitrust Division’s first charges in this ongoing investigation into employee allocation agreements.

“The charges demonstrate the Antitrust Division’s continued commitment to criminally prosecute collusion in America’s labor markets,” said Assistant Attorney General Makan Delrahim of the Department of Justice’s Antitrust Division.  “A freely competitive employment market is essential to the health of our economy and the mobility of American workers.  Along with our law enforcement partners, the division will ensure that companies who illegally deprive employees of competitive opportunities are not immune from our antitrust laws.” read more »

Vivint Smart Homes Inc. to Pay $3.2 Million to Resolve Allegations of False Statements to Federally Insured Bank

DOJ

Vivint Smart Home Inc. (Vivint), based in Provo, Utah, has agreed to pay the United States $3.2 million to resolve allegations under the Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (FIRREA) that Vivint employees made false statements to secure financing for customers’ purchases of Vivint’s home monitoring products, the Justice Department announced today.  FIRREA imposes civil penalties on any person or entity that violates certain predicate federal statutes.

The allegations resolved by the settlement were initially provided to the United States in a declaration submitted under the Financial Institutions Anti-Fraud Enforcement Act, which provides for rewards to eligible declarants who provide information about potential FIRREA violations.  The declarant’s share of the recovery in this matter has not yet been determined. read more »