Khadijah Chapman of Georgia, Daniel Labrum of Utah, and Eric O’Neil of Connecticut were all charged in separate indictments with submitting fraudulent Paycheck Protection Program (PPP) loan applications. According to the DOJ,...more
8/15/2022
/ Anti-Money Laundering ,
Bank Fraud ,
Bank Secrecy Act ,
BSA/AML ,
Coronavirus/COVID-19 ,
Criminal Conspiracy ,
Criminal Convictions ,
Crypto Exchanges ,
Department of Justice (DOJ) ,
Healthcare Fraud ,
Indictments ,
Paycheck Protection Program (PPP) ,
Wire Fraud
Jury Orders Eli Lilly To Pay $61 Million -
A federal jury in Illinois found that, beginning around 2004, drug manufacturer Eli Lilly deliberately underpaid rebates to Medicare programs by excluding retroactive drug prices...more
8/8/2022
/ Coronavirus/COVID-19 ,
Department of Justice (DOJ) ,
False Claims Act (FCA) ,
Falsified Documents ,
Fraud ,
Healthcare Fraud ,
Kickbacks ,
Medicaid ,
Medicare ,
Medicare Fraud ,
Paycheck Protection Program (PPP) ,
Rebates ,
SBA ,
Skilled Nursing Facility ,
Wire Fraud
On July 20, 2022, the Justice Department announced that it brought criminal charges against 36 defendants in 13 federal districts across the country, charging more than $1.2 billion in alleged telemedicine, cardiovascular and...more
7/25/2022
/ Bank Fraud ,
CARES Act ,
Criminal Conspiracy ,
Criminal Convictions ,
Criminal Investigations ,
Department of Justice (DOJ) ,
Durable Medical Equipment ,
Fraud ,
International Banks ,
Kickbacks ,
Medicare ,
Paycheck Protection Program (PPP) ,
Telemedicine ,
Ukraine
California Man Convicted in $27 Million PPP Fraud Scheme -
After a trial before a federal jury, a California man was convicted of bank fraud, making false statements to a financial institution, and money laundering for...more
4/1/2022
/ Bank Fraud ,
Criminal Convictions ,
Department of Justice (DOJ) ,
False Claims Act (FCA) ,
False Statements ,
Financial Institutions ,
Fraud ,
Healthcare Fraud ,
IRS ,
Kickbacks ,
Medicare ,
Paycheck Protection Program (PPP)
DOJ Continues To Prosecute PPP Fraud -
Earlier this week, Ana Soto of Newark, Delaware pled guilty to fraudulently obtaining and spending money received through Paycheck Protection Program (“PPP”) loans. Between March...more
3/7/2022
/ Anti-Kickback Statute ,
Anti-Money Laundering ,
Bank Secrecy Act ,
CARES Act ,
Department of Justice (DOJ) ,
Drug Pricing ,
Fraud ,
Office of Foreign Assets Control (OFAC) ,
Paycheck Protection Program (PPP) ,
Prescription Drugs ,
Settlement
DOJ Releases Highly Anticipated 2021 Fraud Report -
The DOJ released the Fraud Section's Year in Review for 2021 describing its 329 individual convictions, 30 trial wins, and eight corporate resolutions that yielded...more
Former Theranos CEO Convicted of Defrauding Investors -
Elizabeth Holmes, founder and former CEO of blood testing start-up Theranos, was found guilty of one count of conspiracy and three counts of wire fraud for her...more
Texas Man Arrested for Alleged COVID-19 Fraud Scheme -
Scott Davis of Harris County, Texas, was charged with wire fraud, bank fraud, and money laundering for allegedly fraudulently receiving over $3.3 million in Paycheck...more
Texas Man Sentenced to More Than Nine Years in Prison for COVID-19 Fraud Scheme -
After pleading guilty to two charges of wire fraud and money laundering, a Texas man was sentenced to 110 months in prison for his scheme to...more
Fraud Scheme Results in $56 Million Seized as Largest Recovery of Cryptocurrency by US -
On November 12, 2021, the U.S. Department of Justice and U.S. Attorney’s Office for the Southern District of California’s request was...more
11/19/2021
/ Bank Fraud ,
Bribery ,
Coronavirus/COVID-19 ,
Criminal Conspiracy ,
Criminal Investigations ,
Cryptocurrency ,
Department of Justice (DOJ) ,
Economic Injury Disaster Loans ,
Foreign Corrupt Practices Act (FCPA) ,
Fraud ,
Investors ,
Paycheck Protection Program (PPP) ,
SBA ,
Small Business ,
US State Departments ,
Visas ,
Wire Fraud
On October 26, Marcus Frazier of New York pled guilty to two counts of wire fraud affecting a financial institution for his alleged role in a scheme to obtain $6.9 million in Paycheck Protection Program (“PPP”) funds designed...more
CEO of Defunct Medical Testing Lab to Pay $1.1 Million to Settle FCA and AKS Case -
Jae Lee, the former CEO of defunct Northwest Physicians Laboratory (NWPL), agreed to pay $1.1 million to resolve allegations that he...more
10/22/2021
/ Anti-Kickback Statute ,
CARES Act ,
Contractors ,
Coronavirus/COVID-19 ,
Department of Justice (DOJ) ,
False Claims Act (FCA) ,
False Statements ,
Fraud ,
Healthcare Fraud ,
Kickbacks ,
Medicare ,
Paycheck Protection Program (PPP) ,
SBA ,
Settlement ,
TRICARE ,
Unemployment Benefits ,
Wire Fraud
On August 11, 2021, Sheng-Wen Cheng was sentenced to 72 months in prison for his alleged participation in multiple schemes related to Covid-19 pandemic loan fraud and securities fraud.
Taiwanese National, Self-Proclaimed...more
8/16/2021
/ Bank Fraud ,
Coronavirus/COVID-19 ,
Criminal Convictions ,
Department of Justice (DOJ) ,
False Claims Act (FCA) ,
FIRREA ,
Fraud ,
Insurance Fraud ,
Name and Likeness ,
NCAA ,
Paycheck Protection Program (PPP) ,
Petition for Writ of Certiorari ,
SBA ,
Sentencing ,
Settlement Agreements ,
Tax Fraud ,
Wire Fraud
After an eight-day trial, a federal jury convicted four California residents for their scheme to submit fraudulent loan applications seeking millions of dollars in the Paycheck Protection Program (PPP) and Economic Injury...more
7/2/2021
/ Anti-Kickback Statute ,
Bank Fraud ,
Consent Order ,
Coronavirus/COVID-19 ,
Criminal Conspiracy ,
Criminal Convictions ,
Deferred Prosecution Agreements ,
Deutsche Bank ,
Economic Injury Disaster Loans ,
False Claims Act (FCA) ,
Foreign Corrupt Practices Act (FCPA) ,
Fraud ,
Money Laundering ,
Paycheck Protection Program (PPP) ,
Popular ,
Relief Measures ,
SBA ,
Securities and Exchange Commission (SEC) ,
Spoofing ,
Wire Fraud
In addition to the ever-growing number of fraud charges brought in connection with the SBA’s PPP program, recent indictments issued across the country in connection with Covid-19 unemployment benefits and economic injury...more
6/7/2021
/ CARES Act ,
Coronavirus/COVID-19 ,
Criminal Prosecution ,
Department of Justice (DOJ) ,
Economic Injury Disaster Loans ,
Fraud ,
Healthcare Fraud ,
Pandemic Unemployment Assistance (PUA) ,
Paycheck Protection Program (PPP) ,
Popular ,
SBA ,
Unemployment Benefits ,
Wire Fraud
COVID-19 Task Force Established to Enhance Enforcement Efforts against Fraud -
On May 17, 2021, the Department of Justice and U.S. Attorney General announced the establishment of the COVID-19 Fraud Enforcement Task Force,...more
5/24/2021
/ Attorney General ,
Centers for Disease Control and Prevention (CDC) ,
Coronavirus/COVID-19 ,
Department of Health and Human Services (HHS) ,
Department of Justice (DOJ) ,
Department of Labor (DOL) ,
Enforcement Actions ,
False Claims Act (FCA) ,
Falsified Documents ,
Fraud ,
Health Insurance ,
Healthcare Fraud ,
Medicaid ,
OIG ,
Paycheck Protection Program (PPP) ,
SBA ,
Vaccinations ,
Wire Fraud
DOJ Updates Actions to Combat Fraud Related to COVID-19 -
On March 26, 2021, the Department of Justice provided an update on its criminal and civil enforcement efforts to combat fraud related to the COVID-19 pandemic....more
Individual Prosecutions Down But Corporate Resolutions Steady for DOJ’s Fraud Section in 2020, with More in the Pipeline -
The Department of Justice’s (“DOJ”) Fraud Section recently released a year-in-review report that...more
3/8/2021
/ Bribery ,
Centers for Medicare & Medicaid Services (CMS) ,
Coronavirus/COVID-19 ,
Deferred Prosecution Agreements ,
Department of Health and Human Services (HHS) ,
Department of Justice (DOJ) ,
Executive Orders ,
False Claims Act (FCA) ,
Final Rules ,
Foreign Corrupt Practices Act (FCPA) ,
Fraud ,
Healthcare Fraud ,
Opioid ,
Paycheck Protection Program (PPP)
Despite Decrease in 2020 False Claims Act Recoveries, Investigations and Litigation Expected to Rise Under the Biden Administration -
As previously detailed by Arent Fox, total False Claims Act (FCA) recoveries for the...more
2/1/2021
/ Anti-Kickback Statute ,
Biden Administration ,
CARES Act ,
Department of Justice (DOJ) ,
False Claims Act (FCA) ,
Healthcare Fraud ,
Investigations ,
Kickbacks ,
Medicare ,
Paycheck Protection Program (PPP) ,
Recovery Plans ,
Settlement Agreements ,
TRICARE
DOJ’s 2020 False Claims Act Recoveries Lowest Since 2008 -
On January 14, 2021, the Department of Justice (DOJ) announced that it obtained more than $2.2 billion in settlements and judgments from civil cases involving...more
1/25/2021
/ Bribery ,
CARES Act ,
Coronavirus/COVID-19 ,
Department of Justice (DOJ) ,
False Claims Act (FCA) ,
Federal Food Drug and Cosmetic Act (FFDCA) ,
Food and Drug Administration (FDA) ,
Fraud ,
IRS ,
Kickbacks ,
Medicaid ,
Medical Devices ,
Paycheck Protection Program (PPP) ,
Qui Tam ,
Relief Measures ,
SBA ,
Settlement ,
Whistleblowers ,
Wire Fraud
Seven Individuals Charged in $16 Million COVID-Relief Fraud Scheme -
In an indictment unsealed on November 17, seven individuals were charged with conspiracy to commit wire fraud and wire fraud for allegedly submitting at...more
Investment Bank Fined $400 Million For Failing to Remediate Deficiencies in its Risk Management Systems -
On October 7, the Federal Reserve Board and Office of the Comptroller of the Currency issued a consent order...more
10/9/2020
/ Bank Fraud ,
CARES Act ,
Citigroup ,
Consent Order ,
Coronavirus/COVID-19 ,
Criminal Conspiracy ,
Durable Medical Equipment ,
False Statements ,
Federal Reserve ,
Fraud ,
Investment Banks ,
Kickbacks ,
Loan Applications ,
Mail Fraud ,
Medicare Fraud ,
Patient Privacy Rights ,
Paycheck Protection Program (PPP) ,
Pennsylvania ,
Remediation ,
Risk Management ,
Wire Fraud
Nine Individuals Charged in $24 Million Paycheck Protection Program Fraud Scheme -
In one of the largest COVID-relief fraud cases to date, nine Ohio and Florida individuals are alleged to have conspired to obtain...more
8/17/2020
/ Bank Fraud ,
CARES Act ,
Coronavirus/COVID-19 ,
False Statements ,
Fraud ,
Healthcare Fraud ,
Kickbacks ,
Loan Applications ,
Money Laundering ,
Paycheck Protection Program (PPP) ,
Wire Fraud
Florida Doctor Charged in $681 Million Fraud Scheme Involving Substance Abuse Treatment -
On July 30, 2020, a criminal complaint was unsealed charging Michael J. Ligotti, D.O., with conspiracy to commit health care fraud...more
8/10/2020
/ Drug Treatment ,
False Claims Act (FCA) ,
Healthcare Fraud ,
Individual Retirement Account (IRA) ,
Kickbacks ,
Medicare ,
Paycheck Protection Program (PPP) ,
Securities and Exchange Commission (SEC) ,
Substance Abuse ,
Whistleblowers ,
Wire Fraud
COVID Relief Program Fraud Charges -
DOJ continues to announce charges against defendants accused of fraud in connection with allegedly false loan applications submitted under the Paycheck Protection Program (PPP)...more
7/20/2020
/ Bank Fraud ,
CARES Act ,
Coronavirus/COVID-19 ,
Department of Justice (DOJ) ,
False Claims Act (FCA) ,
False Statements ,
Fraud ,
Healthcare Fraud ,
Kickbacks ,
Loan Applications ,
Medicaid ,
Medicare ,
Paycheck Protection Program (PPP) ,
SBA ,
Skilled Nursing Facility ,
Tax Returns ,
TRICARE ,
Wire Fraud