Joanna Szabo  |  October 3, 2019

Category: Legal News

Top Class Actions’s website and social media posts use affiliate links. If you make a purchase using such links, we may receive a commission, but it will not result in any additional charges to you. Please review our Affiliate Link Disclosure for more information.

A whistleblower claim can result in a large setllement for the whistleblower.Mallinckrodt, a drug maker based in the United Kingdom, has agreed to pay $15 million to settle a whistleblower claim filed under the False Claims Act. The lawsuit alleged that Mallinckrodt bribed physicians to encourage them to prescribe its H.P. Acthar Gel from 2009 to 2013. During this period, Mallinckrodt was known as Questcor Pharmaceuticals Inc.

Twelve Questcor (now Mallinckrodt) sales representatives tasked with marketing the drug to health care providers did so by providing lavish meals and entertainment with the intent to induce referrals to Acthar from those health care providers, in violation of both the False Claims Act and the Anti-Kickback Statute, the Department of Justice said in a news release.

Under the settlement terms of the whistleblower lawsuit, the whistleblowers will receive $2.926 million for their part in alerting the federal government of the scheme.

“The Department of Justice will hold companies accountable for the payment of illegal kickbacks in any form,” said Assistant U.S. Attorney General Jody Hunt of the DOJ’s civil division. “Improper inducements have no place in our federal healthcare system, which depends on physicians making decisions based on the healthcare needs of their patients and not on or influenced by personal financial consideration.”

“When companies buy off doctors, patients suffer,” said U.S. Attorney William M. McSwain. “My Office is committed to rooting out this type of behavior and the Anti-Kickback Statute is a critical tool in that fight. We will continue to protect the integrity of our healthcare system by holding drug companies accountable for their conduct.

The Department of Justice has also intervened in another whistleblower lawsuit against Mallinckrodt in Philadelphia, which alleges that between 2010 and 2014, the company used a foundation as a way to pay kickbacks to patients who used Acthar. This lawsuit is separate from this new settlement agreement and is not included in any way.

Filing a Whistleblower Claim

If you have witnessed some kind of fraud, such as Medicare fraud, against the government by your employer or another company, you may be able to file a whistleblower claim on the government’s behalf. There are anti-retaliation laws to protect whistleblowers from any pushback they may experience as a result of calling attention to the fraud. Plus, whistleblowers are typically awarded a substantial portion of any settlement agreement, usually between 15 percent and 30 percent of the total award. Government fraud lawsuits can result in whistleblower awards of tens of thousands or even millions of dollars.

Filing a whistleblower lawsuit can feel daunting, so Top Class Actions has laid the groundwork by connecting you with an experienced attorney. Consulting an attorney can help you determine if you have a claim, navigate the complexities of litigation, and maximize your potential compensation.

In general, whistleblower and qui tam lawsuits are filed individually by each plaintiff and are not class actions. Whistleblowers can only join this investigation if they are reporting fraud against the government, meaning that the government must be the victim, and that the alleged fraud should be a substantial loss of money.

Do YOU have a legal claim? Fill out the form on this page now for a free, immediate, and confidential case evaluation. The attorneys who work with Top Class Actions will contact you if you qualify to let you know if an individual qui tam lawsuit or whistleblower class action lawsuit is best for you. Hurry — statutes of limitations may apply.

Learn More

This article is not legal advice. It is presented
for informational purposes only.

We tell you about cash you can claim EVERY WEEK! Sign up for our free newsletter.


Get Help – It’s Free

Join a Free Whistleblower, Qui Tam Lawsuit Investigation

If you believe that you have witnessed fraud committed against the government, you may have a legal claim. Whistleblowers can only join this investigation if they are reporting fraud against the government, meaning that the government must be the victim, and that the alleged fraud should be a substantial loss of money.

See if you qualify to pursue compensation and join a whistleblower lawsuit investigation by submitting your information for a free case evaluation.

An attorney will contact you if you qualify to discuss the details of your potential case.

PLEASE NOTE: If you want to participate in this investigation, it is imperative that you reply to the law firm if they call or email you. Failing to do so may result in you not getting signed up as a client or getting you dropped as a client.

Oops! We could not locate your form.

Please note: Top Class Actions is not a settlement administrator or law firm. Top Class Actions is a legal news source that reports on class action lawsuits, class action settlements, drug injury lawsuits and product liability lawsuits. Top Class Actions does not process claims and we cannot advise you on the status of any class action settlement claim. You must contact the settlement administrator or your attorney for any updates regarding your claim status, claim form or questions about when payments are expected to be mailed out.