This recent case represents another example of the pivotal role whistleblowers play in holding corporations responsible for fraudulent behavior.
Houston, TX (PRWEB) December 31, 2014
Commenting on a recent New York Times article about a whistleblower lawsuit against Bank of America resulting in a $57 payout for a former employee who exposed fraud, Houston whistleblower attorney J. Mark Brewer today stressed the role whistleblowers play in exposing government fraud and holding large corporations responsible for illegal behavior.
Brewer, an attorney at Brewer & Pritchard, P.C. with over 33 years of experience, based his comments on a December 17 article, “Whistle-Blower on Countrywide Mortgage Misdeeds to Get $57 Million.” The article details the efforts of a Countrywide Financial executive to hold Bank of America accountable for mortgage fraud under the False Claims Act.
“This recent case represents another example of the pivotal role whistleblowers play in holding corporations responsible for fraudulent behavior,” Brewer said. “It can be difficult knowing what to do when you suspect illegal activity on the part of your employer or any other business. Our firm encourages employees to step forward and speak up if government fraud or other activities are suspected. Under the False Claims Act, not only are your rights protected, but you may also be entitled to compensation for your efforts.”
According to the New York Times article, the whistleblower was awarded more than $57 million for helping federal prosecutors force Bank of America to pay a penalty totaling over $16 billion in connection with the corporation’s role in producing “hustle” loans that were misrepresented to companies such as Fannie Mae and Freddie Mac.
According to Reuters (“BofA 'Hustle' whistleblower earns $57 mln payout in second case,” December 17), Bank of America was ordered to pay a $1.27 billion penalty in July 2014 in connection with a lawsuit filed by the whistleblower against Countrywide.
Documents released later in the year reveal that the same whistleblower filed a second case in June accusing the company of defrauding Freddie Mac and Fannie Mae through home loans sold to the company, for which Bank of America agreed to pay a settlement totaling $350 million, according to Reuters.
“There is no question about it: Wall Street needs to be held accountable. All too often, large corporations attempt to cut corners and bend the rules for their own benefit,” Brewer said. “That’s what makes whistleblowers so important. Whistleblowers represent the first line of defense against corporations who defraud the government.”
The case cited is U.S. v. Countrywide Financial Corp. 14-4038, U.S. District Court (Manhattan).
About Brewer & Pritchard, P.C.
J. Mark Brewer, managing director at Brewer & Pritchard, P.C., since its founding in 1991, manages an office of 20 professionals. Attorney Brewer has over 33 years of experience in complex business, tort and commercial litigation, large contract negotiations and arbitration, and other forms of dispute resolution. He has won numerous multi-million-dollar jury verdicts.
Serving clients throughout Texas and across the country, the attorneys at Brewer & Pritchard, P.C. have a well-earned reputation for being knowledgeable, experienced lawyers focused on results. The Houston law firm handles a wide variety of cases, including Medicaid fraud, whistleblower claims, business law, corporate law, mergers, acquisitions and other legal issues. Not certified by the Texas Board of Legal Specialization.
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Brewer & Pritchard, P.C.
3 Riverway #1800
Houston, TX 77056