Amount of Settlement: $6.5 million
The whistleblower became aware of fraudulent conduct by his employer. The relator and two others filed a False Claims Act complaint and participated in undercover operations against their employer. The relators were entitled to share in a percentage of the proceeds obtained by the government from the civil claim. The government also obtained a criminal indictment against the employer, resulting in a substantial fine. The relators challenged the allocation between the criminal fine and the civil recovery, alleging that the government unfairly increased the criminal fine and reduced the civil recovery to reduce the recovery to the relators.