: Department of Justice : Whistleblower Protection Blog

Whistleblower Scores Victory Over Justice Department Privacy Violations

Posted on January 23, 2013 by Mary Jane Wilmoth

On January 15, 2013 U.S. District Court Judge Robert H. Cleland issued a key ruling in support of Justice Department whistleblower Richard G. Convertino in his longstanding Privacy Act lawsuit against the DOJ. The Court ordered the Detroit Free Press to produce all documents related to how the Justice Department smeared its former star prosecutor, Richard Convertino, after Convertino exposed serous flaws in the government’s “war on terror.”

Convertino, one of the Justice Department’s most successful prosecutors, obtained the first guilty verdicts in a post-9/11 terrorism prosecution. However, instead of lauding the Justice Department’s counterterrorism program, Convertino testified that it was fundamentally flawed and administered by incompetent and politically motivated officials. The Justice Department, led by officials appointed by former Attorney General John Ashcroft, struck back and leaked false and highly derogatory information about Convertino to the Detroit Free Press. The leak was designed to discredit Convertino before his peers and force his resignation from the Department.

In response, Mr. Convertino filed a Privacy Act lawsuit. Although a subsequent investigation confirmed that the leak came from DOJ officials, the Justice Department has stonewalled efforts to learn who was behind the smear.

In a key ruling, Judge Cleland has ordered the Detroit Free Press to produce all of its documents related to the “leak” and to produce a witness to testify as to the DFP’s knowledge of the DOJ source. This order follows on the heals of a major victory for Convertino at the U.S. Court of Appeals for the District of Columbia Circuit. On June 22, 2012, that Court ruled that Mr. Convertino was entitled to discovery in order to learn what DOJ officials illegally leaked information in retaliation for Convertino’s whistleblowing.

Mr. Convertino’s attorney, Stephen M. Kohn, issued the following statement: “The public has a right to know what official within the Justice Department willfully violated the law and illegally smeared a distinguished and highly respected prosecutor. DOJ officials are not above the law. It is the completely hypocritical that the Justice Department actively prosecutes whistleblowers whom they accuse of leaking information, but when the shoe is on the other foot, the DOJ actively cover’s up for the leakers who serve their interests.”

To learn more about Mr. Convertino listen to the show on This American Life.

District Court Decision linked here.

Appeals Court Decision linked here.

Tags: Department of Justice, Government Whistleblowers, convertino, counterterrorism, national security whistleblowers, privacy act, war on terror, whistleblower

This Week on Honesty Without Fear

Posted on August 28, 2012 by Lindsey Williams

Tune in today at 1:00pm EDT to Honesty Without Fear on Progressive Radio Network.

In the first half, Michael Kohn interviews Army Corps of Engineer whistleblower Tommie Savage. Ms. Savage is a former contract specialist who dared to question massive government contract fraud. She was fired for bringing the fraud to light and, her case is still ongoing. Tune in to hear her story.

In the second half hour, Lindsey Williams and attorney Sharon Eubanks discuss her new book Bad Acts: The Racketeering Case Against the Tobacco Industry. Ms. Eubanks spent the last six years of her 22 years as an attorney with the Department of Justice taking on the tobacco industry. They discuss the case and the difficulties of going up against corporations with almost limitless resources.

Submit Your Question to be asked on air during the show or call in to 1-888-874-4888.

Missed last week's episode?? You can listen to the podcast.

Tags: Army Corp of Engineers, DOJ, Department of Justice, Honesty Without Fear Radio, Sharon Eubanks, Tommie Savage, federal employee, fraud, racketeering, tobacco, whistleblower

Twenty Years Later, DOJ Finally Admits Mistakes

Posted on July 11, 2012 by Owen Dunn

Readers of The Washington Post found out this morning that the FBI and DOJ are launching the largest post-conviction case review in American history.

Readers of the Whistleblower Protection Blog know that this review should have begun twenty years ago when Dr. Frederic Whitehurst first exposed problems in the FBI crime lab.

This year, Dr. Whitehurst’s allegations have come back to haunt the DOJ in a big way. In my April blog post, I expanded on The Washington Post’s breaking story of how the DOJ withheld information for years about thousands of cases tainted by bad forensics.

Dr. Whitehurst has pointed out the possibility that innocent people have been wrongfully locked up, put on death row, or even executed. While the DOJ has promised justice for these victims before, it has kept the results of all investigations a secret and only went so far as to notify a tiny fraction of potential victims that their cases may have been affected.

The good news is that the DOJ has essentially admitted that its investigations thus far were botched, and it will now be involving outside groups like the Innocence Project in another investigation of Dr. Whitehurst’s allegations.

What will be uncovered this time around? Watch this space to find out.

Tags: Department of Justice, Dr. Frederic Whitehurst, FBI Whistleblowers, Forensic Justice, News, fbi, forensic fraud

Whistleblowers Spur $1.5 Billion Off-Label Marketing Settlement

Posted on May 7, 2012 by Owen Dunn

Whistleblowers have succeeded in a $1.5 billion off-label marketing case against Abbott Laboratories Inc., the Department of Justice announced today. Combined, the $700 million criminal fines and $800 million civil fines are the second largest government recovery from a drug company in history.

The Department of Justice intervened after four whistleblowers filed suit against the company. These plaintiffs provided original information to prove that Abbott marketed a drug called Depakote for controlling agitation and aggression in elderly dementia patients and to treat schizophrenia. However, the FDA had never approved Depakote for either use, and Abbott-sponsored studies showed that the drug was both ineffective in these areas and also potentially dangerous.

“Not only did Abbott engage in off-label promotion, but it targeted elderly dementia patients and downplayed the risks apparent from its own clinical studies,” said Acting Associate Attorney General Tony West. “As this criminal and civil resolution demonstrates, those who put profits ahead of patients will pay a hefty price.”

The fines from these suits are hefty, indeed. Government recoveries are three times the amount of the fraud. Since many crimes are never discovered, though, companies still see an incentive to commit fraud. The Department of Justice's visible and successful cooperation with whistleblowers will force companies to reevaluate their cost-benefit analyses. It is clear, then, that this $1.5 billion settlement is a win for accountability and a win for American health and safety.

Tags: Department of Justice, Pharmaceuticals, Whistleblowing Works, health

DOJ Backs Ink Company Whistleblower

Posted on May 3, 2012 by Owen Dunn

Last week the U.S. Department of Justice announced that it has intervened in a whistleblower lawsuit brought against an ink manufacturer for skirting the payment of import duties. The case against Toyo Ink is still in its early stages, but government intervention is a significant victory for the whistleblower, John Dickson.

When employees are harassed or fired for reporting misconduct, fighting and paying for a whistleblower lawsuit can look seem like an insurmountable challenge. When you imagine this battle of David versus Goliath, you can start to grasp how big this news is for Mr. Dickson's case.

Government funds are, of course, limited. The benefits of False Claims Act investigations like this one, however, are well worth the cost. If the Department of Justice can demonstrate that Toyo Ink did, in fact, cheat its way out of paying import duties on its ink, the company will be forced to pay back the costs threefold. That money pays for the investigation, and it serves as a powerful deterrent to other would-be fraudsters.

Cases like these are great examples of how whistleblowing works. Mr. Dickson's courage to step forward has been recognized with this government assistance. Hats off to the Department of Justice for stepping up to bat for this whistleblower–another American hero.

Tags: Department of Justice, Whistleblowing Works, false claims act

FBI Attempts to Hold Sibel Edmonds' Book Hostage

Posted on April 10, 2012 by Lindsey Williams

For nearly a year, the FBI has attempted to prevent the publication of whistleblower Sibel Edmonds' new book, Classified Woman: The Sibel Edmonds Story.

On April 26, 2011, Ms. Edmonds followed official procedure and submitted her manuscript to the FBI for pre-publication clearance. Under the terms of her employment agreement and controlling regulations, the FBI was required to review and approve the submission within thirty (30) days. Instead of complying with the law, the FBI intentionally stalled the approval process for over 341 days and has still refused to "clear" the book for publication.

Ms. Edmonds will speak today for the first time about the FBI's attempts to suppress her book. The interview will be aired live at 1:30pm ET on Honesty Without Fear, and the podcast will also be available for download.

Today, the NWC is released documentation confirming that the FBI required employees, including Ms. Edmonds, to sign the illegal contracts that allowed the FBI to censor issues of "public policy" it found embarrassing. According to Ms. Edmonds attorney, Stephen M. Kohn, "the controlling law strictly limits government's ability to censor its employees. Agencies like the FBI may require pre-publication review of its employees' writings, but may only censor classified or secret information. The government may not censor books or other writings on 'policy' grounds. The FBI's employment contract with Ms. Edmonds is overreaching and illegal." Additional documents demonstrate that the agency acted illegally to prevent Ms. Edmonds from publishing a manuscript that might embarrass the agency.

To read the rest of today's press release please click here.

Tags: Department of Justice, FBI Whistleblowers, fbi, pre-publication clearance, sibel edmonds

Allegations of Retaliation Against Whistleblowers Surround U.S. Attorney Nominee

Posted on July 27, 2010 by Lindsey Williams

President Obama recently nominated Robert E. O’Neill to serve as U.S. attorney for Florida’s Middle District, one of the country’s busiest regions. The nomination will be reviewed by the Senate Judiciary Committee in the coming months and will need to be approved by a vote of the full Senate. However, there are questions regarding his nomination based on O’Neill’s alleged involvement with whistleblower retaliation.

Between 1999 and 2003, O’Neill was former federal prosecutor Jeffrey J. Del Fuoco’s supervisor. Del Fuoco was in charge of investigating a corrupt Manatee County, Florida sheriff, Charles B. “Charlie” Wells, and an elite group of his deputies known as the Delta Squad. Then Assistant U.S. Attorney O’Neill gave Del Fuoco a glowing review, stating he “was able to demonstrate the legitimacy of the investigation and the fact that the corruption was rampant.”

The street crime-fighting record of Sheriff Wells was praised, but there were a number of allegations over the years that he mixed public and private business. Sheriff Wells was an advisor to Florida governor Jeb Bush. When George W. Bush appointed a new U.S. attorney, Paul I. Perez, Wells met with Perez to express his “opinion that Mr. Del Fuoco needed to be closely supervised.” According to the St. Petersburg Times “given the history of investigation into the Sheriff’s Office, Perez’s visit put him in a position where it could have appeared he was being influenced by Wells, an expert on legal ethics says.”

In 2002, Del Fuoco was still working on the sheriff’s case, but was spending most of his time investigating corrupt police officers in another city. So, when he discovered a black vehicle watching his home he assumed that it was as a result of that case. However, it was quickly discovered that a Manatee sheriff’s employee had run Del Fuoco’s tag numbers through the Florida Crime Information Center (FCIC) computer in order to get his home address and other personal information. Del Fuoco, concerned for his family, repeated asked Perez for protection, but received nothing for those efforts.

Out of frustration that the DOJ had done nothing to protect his family, Del Fuoco filed a lawsuit against the Sheriff and some of his employees for illegally accessing law enforcement data to retaliate against him for prosecuting Delta Squad members. The lawsuit “ helped poison Del Fuoco’s relations with supervisors, who felt he had acted rashly.” Del Fuoco’s lawsuit also helped spur more allegations involving the Manatee Sheriff’s Office to be reported to the U.S. Attorney’s Office. However, in May 2003, Del Fuoco was transferred from the criminal to civil division, all contemporaneous with filing a lawful complaint of whistleblower retaliation with the U.S. Office of Special Counsel (OSC). Del Fuoco considered his demotion to be in retaliation for filing the lawsuit against the politically connected sheriff. In fact, shortly after Del Fuoco was removed from the investigation into Sheriff Wells the investigation of Wells was dropped and the investigators were told that since Wells “swings a big bat,” there “would be no further investigations targeting him.” Del Fuoco resigned his position at the DOJ in August 2005.

Please click here to read a letter dated April 26, 2004 from Attorney Stephen M. Kohn to former Attorney General John Ashcroft detailing the improper and illegal harassment suffered by Mr. Del Fuoco and his family.

The National Whistleblowers Center hopes that the Senate Judiciary Committee conducts a full investigation into whether or not nominee Robert E. O’Neill retaliated against whistleblower Jeffery J. Del Fuoco for having the guts to stand up to a corrupt, politically connected sheriff. If the committee concludes that O’Neill illegally retaliated against a whistleblower, then they should not approve of his nomination.

Justice Department Considering Using False Claims Act to Recover Losses in Deepwater Horizon Disaster

Posted on July 26, 2010 by Lindsey Williams

FCA Legal Actions Could Result in BP Paying Treble Damages To United States Taxpayers

Washington, D.C. July 26, 2010. Assistant Attorney General Tony West confirmed that the U.S. Department of Justice was "considering all avenues of redress against the potentially responsible parties," according to a letter released today by the National Whistleblower Center. The letter specifically mentions the False Claims Act ("FCA"). The letter is in response to a letter from NWC urging the government to use the FCA to hold responsible parties accountable for losses suffered by the taxpayers as a result of the Deepwater Horizon disaster.

In a letter to the Executive Director of the National Whistleblower Center, Assistant Attorney General West praised the "important contributions" of whistleblowers (referred to as "relators under the FCA) "in assisting the United States" in recovering "taxpayer funds." West stated:

This public-private partnership has proved a successful tool for the recovery of public funds and for rewarding relators who bring allegations of fraud to the government. Indeed, since January 2009 more then $3.6 billion was obtained under the Act's qui tam provisions, and relators were awarded more than $497 million for their efforts in helping government pursue these recoveries.

The FCA was originally signed into law by President Abraham Lincoln, and was recently strengthened by Congress in 2009 and 2010. The law covers corporations that obtain oil and gas leases from the United States, and provides for the payment of treble damages if a company violates the FCA. Qualified whistleblowers that provide original information concerning such violations are entitled to mandatory monetary rewards between 15% and 30% of any monies recovered by the United States pursuant to an FCA case.

Stephen M. Kohn, the Executive Director of the National Whistleblower Center praised Assistant Attorney General West's response:

It is not enough to simply slap BP on the wrist by making them pay fine and clean up costs. BP owes U.S. taxpayers treble damages, and they must be made to pay up.

The FCA is powerful tool, protecting and rewarding employees who expose violations of environmental law and government lease agreements. Under the FCA, every corporation involved in drilling under a federal government lease can be held accountable to the taxpayers for treble damages if they violate the terms of those leases or if they made false statements to obtain a lease. This liability stretches beyond the Deepwater Horizon disaster. Workers, who risk their jobs and careers to expose violations of leasing obligations, including violations of safety and environmental standards, are entitled to significant monetary rewards if their claims are covered under the FCA. We are encouraged that the Justice Department is considering using the FCA as one of its legal tools for protecting Americans from economic and environmental disaster in the Gulf Coast.

Attachments:

Letter from Assistant Attorney General West to NWC (July 20, 2010)

Letter from NWC to Attorney General

Tags: BP, Deepwater Horizon, Department of Justice, Environmental Whistleblowers, FCA, False Claims / Qui Tam, Oil Spill, false claims act

DOJ answers NWC call for FCA action on oil spill

Posted on July 22, 2010 by Richard Renner

Last month, we posted here our letter to the U.S. Department of Justice calling on them to exercise their power under the False Claims Act (FCA) to hold oil companies accountable for misleading the government and the American people about their ability to clean up oil spills. Deepwater Horizon explosion Today we received an answer. Assistant Attorney General Tony West has written to us to say, "that the Department of Justice is dedicated to recovering any losses it sustains as a result of the oil spill, and is considering all avenues for redress against the potentially responsible parties." Mr. West's letter goes on to express the Department's appreciation of the False Claims Act and the role whistleblowers play in helping the government recover funds fraudulently obtained:

The Deparment appreciates the important contributions of relators in assisting the United States to recover taxpayer funds under the False Claims Act's qui tam provisions. This public-private partnership has proved a successful tool for the recovery of public funds and for rewarding relators who bring allegations of fraud to the government. Indeed, since January 2009, more than $3.6 bilion was obtained under the Act's qui tam provisions, and relators were awarded more than $497 million for their efforts in helping the government pursue these recoveries.

Tags: Deepwater Horizon, Department of Justice, Environmental Whistleblowers, False Claims / Qui Tam

Birkenfeld speaks to Wall Street Journal about learning from his experience

Posted on April 12, 2010 by Richard Renner

UBS bank whistleblower Bradley Birkenfeld spoke with the Wall Street Journal's Arden Dale in a story released Friday. The WSJ story, "UBS Whistle-Blower Rues the Tack, Not Tune," appears on page C-2 of today's Money and Investing section. Birkenfeld says that he would still want to expose the way UBS helped thousands of millionaires evade their taxes, but he would do it differently. The interview is a lesson for how other tax whistleblowers might want to proceed in the future. The article recognizes that Birkenfeld was "the central informant in an investigation that led to a wide-ranging IRS crackdown on secret offshore bank accounts." He is also the only figure in the case sentenced to substantial prison time, 40 months. Birkenfeld attorney, Stephen M. Kohn (who is also Executive Director of the National Whistleblower Center), explained to Dale how going to the Department of Justice was a mistake. One of their jobs, after all, is to put people in jail. Kohn says that tax whistleblowers should instead consider going to the whistleblower office of the Internal Revenue Service (IRS). That office would be more focused on using the whistleblower's information to collect taxes. It is also the office that will decide on financial rewards for whistleblowers. Federal officials declined to talk to Dale for this story.

Meanwhile, Reuters is running a story called, "Special Report: How the U.S. cracked open secret vaults at UBS." A U.S. government attorney involved in the case did speak to Reuters, and their story barely mentions Birkenfeld, and then only to mention his participation in UBS' crimes before he decided to cooperate with U.S. authorities. The Reuters story misses how Birkenfeld asked the Department of Justice to issue a subpoena to him to allow him to name all the names. That's why we bought the Wall Street Journal on Friday.

Want to take action to support Brad Birkenfeld? Follow this link.

Tags: Birkenfeld, Department of Justice, Reuters, Tax Whistleblowers

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