SEC Awards More Than $7 Million to Whistleblower

SECURITIES AND EXCHANGE COMMISSION

The Securities and Exchange Commission today announced an award of more than $7 million to a whistleblower whose information and assistance were critically important to the success of an enforcement action.  The whistleblower provided extensive and sustained assistance, such as identifying witnesses. 

“The whistleblower showed great tenacity and effort in attempting to expose the misconduct that was the basis for the SEC’s action,” said Jane Norberg, Chief of the SEC’s Office of the Whistleblower.  “The whistleblower’s information and assistance helped the SEC staff devise an investigative plan, craft document requests, and ultimately bring an important enforcement action focusing on serious financial abuses.” read more »

$9.5 Million to Resolve False Claims Act Allegations Relating to the Provision of Medically Unnecessary Rehabilitation Therapy Services

DEPARTMENT OF JUSTICE

Diversicare Health Services Inc., has agreed to pay $9.5 million to resolve allegations that it violated the False Claims Act by knowingly submitting false claims to Medicare

The settlement, which was based on the company’s ability to pay, resolves allegations originally brought in lawsuits filed under the qui tam, or whistleblower, provisions of the False Claims Act. read more »

Madoff customer payout nears $14 billion, as dying swindler seeks freedom

REUTERS

Bernard Madoff’s former customers will soon see their total recovery approach $14 billion, a court-appointed trustee said on Friday, as the dying swindler awaits a decision on whether the U.S. government will support his request to leave prison early. read more »

Revealed: fake 'traders' allegedly prey on victims in global investment scam

THE GUARDIAN

Suspected fraudsters lure investors with fake ads featuring celebrities such as Gordon Ramsay.

An army of more more than 200 fake “traders” based in Ukraine have been persuading victims all over the world to part with their savings, according to a whistleblower from the operation who describes it as a huge investment scam. read more »