False Claims Act Update & Alert
	Taxpayers Against Fraud Education Fund | Washington, D.C. | WWW.TAF.ORG           March 4, 2011
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		Subscribe to this FREE Newsletter Enter your Email Powered by FeedBlitz n TAF Home Page n Previous Newsletters n Email editor   Please take a moment to forward this FREE electronic newsletter to others that might be interested!	Amgen Execs Afraid of Self-incrimination? In depositions taken for a False Claims Act lawsuit scheduled to go to trial in July, five key Amgen executives have "taken the Fifth" in order to avoid self-incrimination. The case, which 15 states have joined, involves kickbacks to medical providers to help boost sales of the anemia drug Aranesp. The essential fraud that is alleged is that Amgen was providing free ‘overfills’ at no cost and suggesting to doctors they could bill for the extra drug. The lawsuit also alleges Amgen conspired to offer kickbacks in the form of nonexistent consultancy deals and weekend retreats. >> To read more
			A Judge Not Yet Impressed With J & J Johnson & Johnson asked a judge to dismiss a False Claims Act complaint charging the company with paying kickbacks to Omnicare, the largest U.S. pharmacy for nursing homes, in order to boost sales of the atypical anti-psychotic Ripserdal. J&J argued it had a legal  contract with Omnicare, but the judge was not much impressed, ruling that the contract was little more than a "subterfuge" to disguise kickbacks made in the form of  interest-free loans, grants, event sponsorships, trips, and educational funding. >> To read more
			Contract Fraud in Iraq and Afghanistan A new report from the Commission on Wartime Contracting in Iraq and Afghanistan concludes that "the cost of federal failure to control the acquisition process could be as high as $12 billion for fraud, not including contract waste." Notes Commission co-chair Michael Thibault, a former deputy director of the Defense Contract Audit Agency:  "When it comes to oversight of contingency contracting, we’ve been driving beyond the reach of our headlights. Reforms are badly needed."  >> To read more
			Foreign Exchange Fraud Probes Widen California, Virginia and Florida have joined state False Claims Act lawsuits charging State Street Bank and Bank of New York Mellon with foreign exchange frauds the cheated public pension funds.  Washington State has already settled its suit. Now three other states, New York, Massachusetts and Illinois, have launched their own investigations into similar charges.  All three of the new states have comprehensive state False Claims Acts. >> To read more
			Is Big DoD Fraud Good Business? Charles Tiefer, a Member of the Commission on Wartime Contracting in Iraq and Afghanistan, has nicknamed the five large companies that do business with the Defense Department the "Flagrant Five" for continuing to receive massive amounts of DoD work despite persistent claims of fraud, misconduct and poor performance.  The five companies are:  KBR, Agility, Louis Berger, Tamimi, and First Kuwaiti.  Notes Tiefer, "I'm beginning to get the picture that bad performance can be good business.
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