Recently, the House of Representatives Committee on Energy and Commerce cataloged a series of potentially-serious data security failures at the Department of Health and Human Services (HHS). The Committee's report reveals, among other things, that HHS division systems have been hacked five times in the past three years, and traces the root of the problem to HHS's treatment of data security as subordinate to operational priorities.
Heightened False Claims Exposure: 60-Day Period to Repay Begins When Overpayment is Suspected Rather Than Confirmed
In a significant decision this week affecting Medicaid and potentially Medicare healthcare providers, a U.S. District Court for the Southern District of New York held that federal False Claims Act (FCA) liability applies to providers that do not repay â€œidentified overpaymentsâ€ within 60 days of â€œwhen a provider is put on notice of a potential overpayment, rather than the moment when an overpayment is conclusively ascertained.â€
John Joseph talks with Modern Healthcare about a District Judge's decision in Kane v. Healthfirst Inc. et al. and U.S. v. Continuum Health Partners Inc. et al., and its impact on providers
New Jersey Non-Profit Hospital Stripped of Tax Exemption Based on Ruling that Modern Non-Profit Hospitals Essentially Function as For-Profit Businesses
A recent court ruling has called into question some basic assumptions regarding the ability of not-for-profit entities to obtain certain tax exemptions. In AHS Hospital Corp. v. Town of Morristown, the Tax Court for the State of New Jersey recently ruled that Atlantic Health System Hospital Corporation, the parent company of Morristown Medical Center (collectively, Atlantic or the Hospital, was ineligible for exemption from state property tax. This ruling, if upheld, could cost the Hospital millions of dollars each year.
In the lead article for the July 2015 issue of Business Crimes Bulletin, Internal Investigations & White Collar Defense Chair Ronald H. Levine, and Environmental Principal Michael C. Gross, review recent environmental prosecutions and offer best practice tips for responding to civil investigations and avoiding criminal prosecution.
The Appointment of SEC Administrative Law Judges: Constitutional Questions and Consequences for Enforcement Actions
In a June 2015 article for Bloomberg BNA's Securities Regulation & Law Report, Principal Peter D. Hardy, and Associates Abraham J. Rein and Carolyn H.Kendall examine recent constitutional challenges to the Securities & Exchange Commission's (SEC) administrative proceedings and the administrative law judges (ALJ) that adjudicate them.
The tax industry has an identity theft problem. According to the Government Accountability Office (GAO), the IRS estimates that in 2013 it paid out approximately $5.8 billion in tax refunds to filers later determined to be identity thieves.
The article, in the April 2015 issue of Public Utilities Fortnightly, examines U.S. Federal Energy Regulatory Commission's (FERC) policing of fraud and market manipulation in energy markets, and notes that, "between 2007 and the end of 2014...FERC assessed civil penalties of $602 million and ordered disgorgement totaling almost $300 million."
Recent Developments in FTC vs. Wyndham Underscore Importance of Cybersecurity Vigilance in the Hospitality Industry
On Friday, March 27, the parties in FTC vs. Wyndham, a key data security case with the potential to deeply impact the hospitality industry's cybersecurity practices" filed special supplemental briefs that the Third Circuit Court of Appeals requested during oral arguments earlier in the month.
Pennsylvania Bank Consents to $1.5 Million Assessment for Failing to File Required Suspicious Activity Reports Regarding Transactions by Bank Insider
On February 27, 2015, the Financial Crimes Enforcement Network (FinCEN) assessed a $1.5 million civil monetary penalty against the First National Community Bank of Dunmore, Pennsylvania for willful violations of the Bank Secrecy Act (BSA).
In a February 8 article, Philadelphia Inquirer reporter Chris Mondics profiles Ronald H. Levine and Associate Abraham J. Rein as they prepared for oral arguments before the Supreme Court of the United States (SCOTUS) in November/December 2014.
On Friday, January 30, 2015, Marriott International, Inc. (Marriott) the American Hotel & Lodging Association (AH&LA), and Ryman Hospitality Properties (Ryman) announced the withdrawal of their petition seeking clarity from the Federal Communications Commission (FCC) regarding businesses' ability to control Wi-Fi connectivity on their premises. It was probably the right decision strategically. However, certain key regulatory questions are unresolved, with no promise of a ready resolution forthcoming.