US WorldMeds settles whistleblower suit for $17.5 million

Louisville-based US WorldMeds LLC agreed to pay $17.5 million, plus interest, to settle allegations that it improperly paid patients and physicians to use the company's medications.

The U.S. Justice Department announced in a news release Tuesday that the settlement resolves an investigation by the department and two whistleblower lawsuits that were filed against the pharmaceutical company in 2013 and in 2016 in U.S. District Court for the District of Connecticut.

After interest, US WorldMeds will have to pay about $18 million, according to the settlement agreement between US WorldMeds and several U.S. agencies.

The whistleblowers, Brian Bennett and Dr. Robert Chinnapongse, will receive $3.15 million of the settlement for bringing qui tam suits against US WorldMeds, the release states. read more »

Lawsuit accuses Cargill, Tyson and other meat producers of price-fixing

A class-action lawsuit claims that four large beef-packing companies and an industry information-sharing service have schemed to suppress the prices they pay for cattle and inflate the prices they charge consumers.

The lawsuit filed in U.S. District Court in Minnesota names Cargill, Tyson Foods, National Beef Packing and JBS USA Food Co. — who collectively control 70% of U.S. beef processing — as defendants. Agri Stats Inc., a price forecasting service for beef, pork and poultry, is also named as a defendant.

It's the latest in a series of similar lawsuits against meat processors filed by Seattle law firm Hagens Berman and makes accusations that have been investigated by the federal government in recent years. read more »

How a Ponzi scheme snagged $14M from Michigan investors

One of the more brazen billion-dollar financial frauds in history, complete with celebrity names and fancy cars, quietly snaked its way into hundreds of retirement nest eggs across Michigan.

Often, the sales pitch started innocently enough after a retirement seminar and a free meal at a pleasant restaurant, maybe Andiamo or Maggiano's Little Italy.

Nearly two dozen insurance agents and other sellers hooked about 230 Michigan retirees and investors with what seemed like a low-risk, short-term investment in mortgage-related notes connected to the Woodbridge Group.

The Michigan investors handed over more than $14 million, according to state regulators. Many never saw that money again. read more »