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Decisions of the DOL Administrative Review Board June-July 2017

The Administrative Review Board issues final agency decisions for the Secretary of Labor in cases arising under a wide range of worker protection laws, primarily involving environmental, transportation, and securities whistleblower protection. The below list includes decisions of the Administrative Review Board from June-July 2017.

Whistleblower to Receive $2.9 Million for Reporting Fraudulently Obtained Small Business Contracts

In a case filed under the qui tam provisions of the False Claims Act by a whistleblower, Virginia Beach based defense contractor ADS Inc. has agreed to pay the United States $16 million to settle allegations that it conspired and caused ineligible companies to improperly obtain contracts set-aside for small business and service disable veteran-owned companies.

Qui Tam Whistleblower Awarded Over $9 Million for Reporting Mortgage Fraud

On August 8, 2017, the Department of Justice announced a settlement in a False Claims Act lawsuit against PHH Corp. PHH Mortgage Corp. and PHH Home Loans (collectively, PHH). As part of the settlement PHH agreed to pay the United States $74,453,802 to resolve allegations that they violated the False Claims Act by knowingly originating and underwriting mortgage loans insured by the U.S. Department of Housing and Urban Development’s (HUD) Federal Housing Administration (FHA), guaranteed by the United States Department of Veterans Affairs (VA), and purchased by the Federal National Mortgage Association (“Fannie Mae”) and the Federal Home Loan Mortgage Corporation (“Freddie Mac”) that did not meet applicable requirements.

U.S. Files New Complaint in Whistleblower Suit Against City of LA to Recover Millions of Dollars Obtained by Making False Promises to Provide Accessible Housing

In a complaint filed August 1, 2017, the United States alleges that the City of Los Angeles and the CRA/LA (formerly the Community Redevelopment Agency of the City of Los Angeles) together fraudulently obtained millions of dollars in housing grants from the U.S. Department of Housing and Urban Development (HUD) by falsely certifying that the money was being spent in compliance with federal accessibility laws.

SEC Whistleblower Awards List –July 2017

The SEC Office of the Whistleblower posts Notices of Covered Action where a final judgment or order, by itself or together with other prior judgments or orders in the same action issued after July 21, 2010, results in monetary sanctions exceeding $1 million.

Reverse False Claims Act Liability Extended to Bonding Companies

On Monday, the U.S. District Court for the District of Columbia ruled that bonding companies can be held liable for treble damages under the False Claims Act for issuing surety bonds to construction companies that falsely claim to be a Service-Disabled Veteran-Owned Small Business (SDVOSB).

Members of Congress, Agency Leaders and Whistleblowers Come Together to Honor Whistleblowers

Strong bipartisan support for whistleblowers was evident at yesterday’s National Whistleblower Day Celebration. The event was hosted by the National Whistleblower Center, the nation’s leading whistleblower advocacy group, who brought together Members of Congress and the Executive Office to honor whistleblowers and to discuss the work that needs to be done to ensure whistleblowers are adequately incentivized and protected.

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About the Whistleblower Blog

The Whistleblower Blog is an editorially independent news and information source, sponsored by a pro bono public service project by Kohn, Kohn & Colapinto, LLP. The blog highlights important news, legal developments and policy issues critical to whistleblowers and their advocates, both in the United States and internationally. The contributors to this blog are respected leaders in their fields, including the authors of key whistleblower law books, current and former legal professors, spokespersons before Congressional committees and other public bodies, directors of non-profit whistleblower advocacy groups, and prominent attorneys specializing in representing/assisting whistleblowers in the United States and throughout Europe, Asia, Africa and South America.