Labor Department Tosses FLYi Whistleblower Case

Law360, New York (October 4, 2006, 12:00 AM EDT) -- Air carrier FLYi Inc. has prevailed in one of the first whistleblower lawsuits filed under provisions of the Sarbanes Oxley Act, after the U.S. Department of Labor rejected a former employee’s claim that she was sacked for uncovering a payroll scheme.

The former employee filed the complaint in April 2003, accusing the carrier of violating Title VIII of SOX. She claimed FLYi fired her when she pointed out a pilots’ plot to manipulate a payroll agreement between the carrier and the union.

The decision, issued Sept....
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