DOJ Suffers Rare Rejection Of Late FCA Case Takeover

By Jeff Overley (February 26, 2021, 10:58 PM EST) -- In an unusual defeat, the U.S. Department of Justice has been barred from joining a False Claims Act case after a Tennessee federal judge found it waited too long to intervene in whistleblower litigation alleging kickbacks among eye doctors.

The Wednesday decision by U.S. District Judge Waverly D. Crenshaw Jr. found that the DOJ failed to show "good cause" for belated intervention — a showing that typically isn't hard for the DOJ to make — and that it therefore must stay behind the ropes while two whistleblowers and several vision-care entities duke it out in the litigation.

Judge Crenshaw noted that...

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