SEC probes bankers from Barclays, Morgan Stanley on Puerto Rico bond sales

The U.S. Securities and Exchange Commission may take action against bankers from Barclays Plc and Morgan Stanley for their roles in Puerto Rico bond sales, according to filings with the Financial Industry Regulatory Authority (FINRA).

According to records filed with FINRA, the SEC's staff has recommended the agency file an enforcement action against Barclays' Luis Alfaro and James Henn for alleged violation of fair dealing rules for their roles in the island's debt sales.

The SEC staff suggested that Henn, who has worked at Barclays since 2008, and Alfaro, who worked at First Bank Puerto Rico Securities before moving to Barclays in 2013, allegedly violated securities and municipal bond rules on fraud, deception and misrepresentation during the sale of Puerto Rico bonds. read more »

Guilty plea for WellCare Health Plans former counsel

Former WellCare Health Plans general counsel Thaddeus M.S. Bereday pleaded guilty to one count of making a false statement to the Florida Medicaid program, and faces a maximum penalty of five years in federal prison. A sentencing date has not yet been set, acting U.S. Attorney W. Stephen Muldrow of the Middle District of Florida said Wednesday.

On March 2, 2011, Bereday — along with fellow WellCare executives Todd S. Farha, Paul L. Behrens, William L. Kale, and Peter E. Clay — were indicted on various federal criminal violations relating to a scheme to defraud the Florida Medicaid program. read more »

 

 

Hospital Medicare, Medi-Cal false claims lawsuit settled: We’ll pay $42 million but we won’t admit wrongdoing!

The owners of Pacific Alliance Medical Center, an acute care hospital just north of downtown Los Angeles, have agreed to pay $42 million to the feds and California to settle allegations that they were involved in improper financial relationships with referring physicians, the U.S. Department of Justice announced Wednesday.

The agreement resolves allegations brought in a whistleblower lawsuit that the defendants submitted — or caused to be submitted — false claims to Medicare and Medi-Cal for services rendered to patients who had been referred by physicians with whom the defendants had improper financial relationships. read more »

Martin Shkreli is an odd duck

At least that’s what his investors thought of him, his attorney told a federal court on Wednesday.

Martin Shkreli's lawyer kicks off federal fraud trial by claiming the 'Pharma Bro' is just a misunderstood oddball. read more »

Linde's Lincare settles U.S. whistleblower case for $20 million

Linde AG's Lincare unit has agreed to pay $20 million to resolve a whistleblower lawsuit accusing the company of fraudulently billing the U.S. government for oxygen and respiratory care equipment.

The accord, confirmed by the U.S. Attorney's Office in Massachusetts, will resolve a lawsuit filed under the False Claims Act by former employees of the respiratory therapy services provider on behalf of the U.S. government.

According to the lawsuit, Lincare since 2003 billed government health programs, including Medicare, for oxygen equipment and tanks even when customers did not use or require them, fabricated customer oxygen orders and improperly waived customer co-payments and deductibles.

The company also paid kickbacks to physicians and their families to refer patients by providing them oxygen and supplies for free, the lawsuit said. read more »