Nov. 2, 2000 — The Justice Department collected $1.2 billion during the past fiscal year as a result of settlements and judgments in connection with qui tam (whistleblower) cases, Attorney General Janet Reno announced this month.
As a reward for filing and pursuing qui tam lawsuits, whistleblowers received $173 million from October 1999 through September 2000, the department said.
Settlements this year included the largest civil fraud recovery ever: Fresenius Medical Care paid $385 million to resolve allegations of fraud by its kidney dialysis subsidiary. The government also collected more than $140 million from 25 investment banks to settle a qui tam case charging the firms had defrauded the governent by pocketing illegal proceeds from municipal bond refinancing transactions, a scheme known as "yield burning." Phillips & Cohen LLP represented the whistleblower in that case. (More information about that settlement can be found in our April 6, 2000 press release.)
To get detailed information about recoveries and whistleblower rewards in previous years, please see the "Statistics" page.