A federal whistleblower lawsuit has been filed against Planned Parenthood of Houston and Southeast Texas, now known as Planned Parenthood Gulf Coast, charging the provider of abortion services with fraudulent Medicaid claims in the amount of nearly $6 million.
The lawsuit, filed by the Alliance Defense Fund (ADF), on behalf of former Planned Parenthood clinic director, Abby Johnson, accused Planned Parenthood of submitting over 87,000 “false, fraudulent, or ineligible claims for Medicaid reimbursements” under Title XIX, in association with the Texas Women’s Health Program.
The Medicaid claims, filed between 2007 and 2009, were valued at more than $5.7 million. The lawsuit alleges that Planned Parenthood knowingly committed Medicaid fraud by “improperly seeking reimbursements from the Texas Women’s Health Program for products and services not reimbursable by that program.”
In an interview with LifeSiteNews, Ms. Johnson said that she filed the lawsuit to “expose the corruption” at Planned Parenthood and “to show the taxpayer how their money is being spent at Planned Parenthood.”
Go read the whole thing.
Related, from Bloomberg via The Market Ticker:
Attorney Lynn Szymoniak had spent a career investigating insurance fraud when a bank moved to foreclose on her Florida home in 2008. Almost four years later, the fraud she said she uncovered by combing through mortgage documents earned her $18 million.
Szymoniak, 63, is among six whistle-blowers who will pocket $46.5 million as part of a $25 billion national foreclosure settlement that state and federal officials reached in February with five banks, including Bank of America Corp. and JPMorgan Chase & Co. (JPM), according to the U.S. Justice Department.
Let me spell it out for you folks who work for a big bank: If you have knowledge of the bank doing something that has caused the government to get screwed, you can sue in the name of the government and get a big chunk of the recovery.
It’s called “Qui Tam” and it exists for the very purpose of giving people just like you, dear Wall Streeter, an incentive to blow the whistle on any fraud that has the effect of stealing from the government.
Go read that whole thing, too.