Whistleblower News

What is a whistleblower? A whistleblower is an individual with knowledge of an organization’s corrupt or illegal activity. Here are two examples of whistleblowers exposing the unethical practices of corporations:

1. Bristol Meyers Squibb was ordered to pay $30 million for kick-backs and incentives to doctors to get them to prescribe drugs, including Prazachol, a cholesterol-lowering drug.

How about these treats?

  • Lakers Basketball Camp for doctors and their kids
  • Prepaid golf outings at luxury clubs
  • Lavish dinners and concert tickets

No wonder prescription medicine costs were so high.

One of the whistleblowers on this case was an employee and former LA Laker, Lucius Allen!

California Insurance Commissioner Dave Jones helped to reach a $30 million settlement. Jones said, “Illegal and unethical bargaining practices put patient health at risk when a medical professional is influenced by the inducements offered by drug makers.” (In addition to the $30 million payment, the agreement provides that BMS must abide by California law.)

2. Health Net Busted

This health insurance company strung-armed employees to keep quiet about unethical practices. The company has agreed to pay a $340,000 penalty.

The Securities and Exchange Commission (SEC) found Health Net would not pay severance if employees didn’t promise not to tell anyone what the company was doing wrong.

The SEC is authorized to enforce the Dodd-Frank Wall Street Reform and Consumer Protection Act. Questions remain as to whether or not the regulation will continue in light of President Trump’s call for “a dismantling of Dodd-Frank.” More practically, in view of the fact that Health Net reported $186 million in profit last year, companies may simply view the relatively small fine as just the cost of doing business.

Our firm has been handling personal injury cases throughout the California Low Desert and High Desert communities for over 30 years. With a 95% success rate, the California personal injury attorneys at Walter Clark Legal Group will fight to hold those responsible for your loss accountable and win compensation to cover medical bills, lost wages, and pain and suffering. If you have been injured in an accident and want to discuss your legal options, contact us today for a free consultation with an experienced personal injury lawyer. We have offices in Indio, Rancho Mirage, Victorville, and Yucca Valley and represent clients through the entire California Low Desert and High Desert communities.

DISCLAIMER: The Walter Clark Legal Group blog is intended for general information purposes only and is not intended as legal or medical advice. References to laws are based on general legal practices and vary by location. Information reported comes from secondary news sources. We do handle these types of cases, but whether or not the individuals and/or loved ones involved in these accidents choose to be represented by a law firm is a personal choice we respect. Should you find any of the information incorrect, we welcome you to contact us with corrections.

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