Whistleblower Retaliation

It is not uncommon for companies that do business with the government to commit acts of fraud against the government for profit. As a result, the government loses millions of dollars each year. In order to recoup some of the money lost to fraud, the government relies on individuals to report fraudulent activities. People who turn in such businesses are referred to as whistleblowers. Whistleblowers are typically employees of the companies that commit fraud and have access to evidence proving fraud. Not surprisingly, whistleblowers risk retaliation from their employers. In order to encouraging reporting of fraud, the law protects whistleblowers by making it illegal to retaliate against whistleblowers. If you believe you have a whistleblower claim and are concerned about retaliation, it is critical that you act quickly and contact an experienced Los Angeles Whistleblower Retaliation Lawyer who will makes sure your rights are protected.

Federal and State Whistleblower Laws

Whistleblower claims in California can be are brought under the federal False Claims Act or the California False Claims Act. Under the federal False Claims Act, an individual who has evidence of fraud can bring a False Claims Act lawsuit against his or her employer on behalf of the United States Government. The government will conduct an investigation into the claim and make a decision as to whether or not it will intervene and join the action. If the government declines, the individual who brought the claim has the right to proceed on his or her own. Whistleblower claims are filed confidentially. Thus, the defendant in the case is not made aware that it is being investigated.

If a defendant is found to have defrauded the government, the defendant may be required to pay the government up to three times the dollar amount that the government was defrauded plus civil penalties of up to $10,000 for each false claim. As a reward a qui tam plaintiff can receive between 15-30% of the total recovery from the defendant, whether through a favorable judgment or settlement. In order to be eligible for the reward, the whistleblower must not merely report the fraud to the government. The whistleblower must file a qui tam lawsuit and funds must actually be recovered.

The federal False Claims Act provides the whistleblower protection against retaliation. Under section 3730(h) of the False Claims Act, any employee who is terminated, demoted, harassed, or otherwise discriminated against because he or she filed an action under the False Claims Act is entitled to reinstatement, double back pay, and compensation for any special damages including litigation costs and attorneys' fees.

Similarly, the California False Claims Act gives individuals to right to file claims against companies who have defrauded the California state and local governments and the right to receive a reward if the case is successful and money is recovered.

Common Types of Whistleblower Claims

Because there is a wide-range of types of companies that do business with the government, there is a variety of ways in which such companies can defraud the government. Common types of fraud includes defense contractor fraud, including product substitution, cross charging, and failure to comply with contract specifications; financial industry fraud, including fraudulent municipal transactions and FHA mortgages; construction project fraud; and health care fraud, including kickbacks, false certifications, upcoding and unbundling, fraudulent cost reports, lack of medical necessity, and Medicaid and Medicare fraud.

Example

In 2015, Quest Diagnostics Inc. paid the United States $1.79 million to settle claims that it violated the False Claims Act. This settlement resolves allegations that Quest Diagnostics submitted duplicative claims to Medicare for certain services and diagnostic. The whistleblower in this case will receive $358,000 of the recovery proceeds.

Los Angeles Whistleblower Retaliation Lawyer

If you believe that you have inside information regarding a potential whistleblower claim, it is important you discuss the specifics of your case with an experienced attorney to ensure that your claim is handled properly and to ensure that you are protected against retaliation. The staff at VAKILI & LEUS, LLP has years of experience successfully representing clients in a variety of employment-related cases including whistleblower claims, wage-and-hour claims, employment discrimination and other employment law violations. Keep in mind that there are time limits to filing claims. Contact us at 1-855-52LA-LAW (1-855-525-2529) to schedule a free, no obligation consultation regarding your concerns related to your employment.

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