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The Shaughnessy-Kaplan Rehabilitation Hospitals d/b/a Spaulding Rehab Hospital in Salem Ma., a member of Partners Healthcare Inc. has agreed to pay $91,800 to the United States Government for billing Medicare for certain days of patient care in violation of Medicare’s “midnight rule.” The case, filed by a whistleblower and former employee of the hospital said that Spaulding billed Medicare for days on which patients left the hospital before midnight. The midnight rule allows for Medicare reimbursement only when a patient remains in the nursing facility through midnight on a given day. The whistleblower, who was terminated shortly after circulating a memorandum on the violation, has a pending retaliation case against the hospital, which is part of the False Claims Act. In addition, she will receive 16% of the government’s recovery as allowed by the law. She is represented by Jeffrey A. Newman Esq. of Marblehead and Boston.

SEPT/OCT 2012: Military contractor Applied Research Associates (ARA) with offices in Vermont, has agreed to pay $1.1 million to settle a whistleblower case alleging the company fraudulently billed Uncle Sam on a multi-year contract with the Army. The whistleblower, former ARA engineer Brent Boerger of Vt. was represented by Jeffrey A. Newman of Boston and Marblehead. Mr. Boerger will share in the settlement pursuant to the federal False Claims Act. Applied Research Associates is a defense contracting firm headquartered in New Mexico.BoergerComplaint4.4.2011

The False Claims Act case, filed in federal court in Burlington Vermont, by Attorney Jeffrey A. Newman, alleged fraudulent billing for work performed by ARA’s employees that was unrelated to a government contract for a project known as “Nemesis.” The Nemesis project was a multi-year, successive contract project spanning about ten years. ARA billed under the contract for work performed on a number of other projects. Mr. Boerger alleged that the work on other projects was not pertinent to research or development of the humanitarian de-mining system identified in the contract. SEE BoergerComplaint4.4.2011

The federal qui tam statute 31 U.S.C. Section 3730 allows a whistleblower to file a civil complaint on behalf of the United States. The filing of the complaint allows the government to decide whether to intervene in the action. The government intervenes in only 23% of all False Claims Actions filed each year. The Government intervened in this case in September 2012. Tristam J. Coffin United States Attorney for Vermont commended Mr. Boerger for coming forward and reporting the ARA billing practice on the Nemesis contract. “His efforts led to a federal investigation that we believe furthered the integrity and accountability in federal contract programs, and his cooperation and assistance was tremendously helpful to our work.” He said.  The United States was represented during the investigation by Civil Chief Carol L. Shea of Burlington Vt.

The Plaintiff, brought a claim on behalf of the United States against a medical supply company allegedly defrauding Medicare by improperly submitting reimbursement claims for various diabetic and nebulizer products. The United States intervened in the case and, ultimately, the United States was able to recover $35,000,000.00

October 1, 2011: Attorney Jeffrey A. Newman represented the family of a Northeastern University student, Jacob Freeman, who died after falling down an illegal concealed stairway in the rear of a bar on April 1, 2007. Newman convinced Superior Court Judge Elisabeth M. Fahey that the bar and its commercial landlord should be liable under the Massachusetts Consumer Protection Statute, G.L. c. 93A. The Court awarded $2.2 million which were trebled and with interest and counsel fees stands at $10.7 million now. Previously the jury had found negligence and breach of the building code but did not find causation on the counts submitted to the jury. October 1, 2011: Attorney Jeffrey A. Newman represented the family of a Northeastern University student, Jacob Freeman, who died after falling down an illegal concealed stairway in the rear of a bar on April 1, 2007. Newman convinced Superior Court Judge Elisabeth M. Fahey that the bar and its commercial landlord should be liable under the Massachusetts Consumer Protection Statute, G.L. c. 93A.

 
The Court awarded $2.2 million which were trebled and with interest and counsel fees stands at $10.7 million now. Previously the jury had found negligence and breach of the building code but did not find causation on the counts submitted to the jury.

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The Relator was an employee “Scale Master” for a Massachusetts company providing road construction material for The Big Dig. He was required to create false tickets to establish that truckloads of material were delivered to job sites, even though they never were. The Relator filed a False Claims Act case and the government intervened. The claim was settled for a significant sum.