Major Frauds FY 2013

False Claims Act Statistics: Fiscal Year 2013

In the 2013 fiscal year, federal and state False Claims Act cases returned over $3.8 billion in settlements back to the government. This amount represents the second largest annual recovery of its type in history, and it brings the total recoveries under the False Claims Act since January 2009 to $17 billion.

Of the 846 new cases filed under the False Claims Act, 752 (or 89%) were filed by whistleblowers under the qui tam provisions. This marks 100 more whistleblower-initiated suits than the record set in previous fiscal year. Recoveries in qui tam cases totaled $2.9 billion, with whistleblowers recovering $345 million. “These recoveries would not have been possible without the brave contributions made by ordinary men and women who made extraordinary sacrifices to expose fraud and corruption in government programs,” said Assistant Attorney General Delery.  “We are also grateful to Congress and its continued support of strengthening the False Claims Act, including its qui tam provisions, giving the department the tools necessary to pursue false claims.

    Major False Claims Act Cases 
    Resolved in Fiscal Year 2013

Company

Amount

Nature of the fraud

Amgen Inc.

$762,000,000.00

Off-label marketing practices/kickbacks to healthcare providers/false price reporting practices

Ranbaxy Laboratories

$500,000,000.00 

Food, Drug and Cosmetic Act (FDCA) violations

Wyeth Pharmaceuticals

$490,900,000.00

Unapproved promotion of the drug Rapamune

United Technologies

$473,000,000.00

Illegal pricing/failed to incorporate discounts from suppliers in government invoices

Sanofi-Aventis

$109,000,000.00

Illegal kickbacks to physicians

W.W. Grainger

$70,000,000.00

Failed to provide government with price discounts

RPM International, Inc.

$60,900,000.00

Failed to provided government with price discounts

Tremco Roofing

$60,000,000.00

Provided inaccurate pricing to government agencies

Shire PLC

$57,900,000.00

Off-label marketing of ADHD drugs

C.R. Bard

$48,260,000.00

Illegal kickbacks

Par Pharmaceuticals

$45,000,000.00

Illegal promotion of the drug Megace ES

Toyo Ink

$45,000,000.00

Failed to pay import duties

ISTA Pharmaceuticals

$33,500,000.00

Off-label promotion of the drug xibrom   and illegal kickbacks

Blackstone Medical 

$30,000,000.00

Paid illegal kickbacks to physicians

Dr. Steven J Wasserman

$26,100,000.00

Billed Medicare for unnecessary procedures/accepted illegal kickbacks

Shand Healthcare 

$26,000,000.00 

Illegal and improper billing of federal healthcare programs

Intermountain Healthcare

$25,500,000.00

Maintained prohibited financial arrangements with physicians

Amgen Inc.  

$24,900,000.00

Illegal kickbacks to pharmacy providers

CH2M Hill Companies LTD

$18,500,000.00 

Overstated labor hours of employees on government contracts

Amgen Inc.

 

$15,000,000.00

Illegal kickbacks to physicians

Sound Inpatient Physicians Inc.

$14,500,000.00

Inflated pricing data to federal healthcare programs

Cooper Health System

$12,600,000.00

Accepted Medicare and Medicaid patients who were illegal referred

Hospice of Arizona

$12,000,000.00

Submitted false claims to Medicare for ineligible hospice services

Victory Pharma Inc.

$11,400,000.00

Illegal kickbacks to physicians

Amgen Inc. 

$11,000,000.00

Inflated pricing data to federal healthcare programs

The Gallup Organization

$10,500,000.00

Overstated labor hours of employees on government contracts