7th Circ. Revives FCA Suit Over ITT Recruiter Pay

Law360, New York (July 8, 2013, 8:19 PM EDT) -- The Seventh Circuit on Monday reinstated a former employee's False Claims Act lawsuit accusing ITT Educational Services Inc. of unlawfully tying workers' compensation to the number of students they recruited and secured financial aid for, and nixed sanctions against her attorneys.

The appeals court overturned U.S. District Judge Tanya Walton Pratt's August 2011 dismissal of the case for lack of subject-matter jurisdiction, which held that the relator, former ITT financial aid administrator Debra Leveski, based her suit on publicly available information, not her actual knowledge....
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