Facts

The United States of America ex rel. Danny R. Gilbert filed a False Claim Act lawsuit against Inland Counties Regional Center Inc., Southwestern Transportation Management Services LLC, Regional Center Services LLC, William Ames, Janet Goehring, and Corina DeLeon, in connection with Inland Counties Regional Center's contract with the State of California.

PLAINTIFF'S CONTENTIONS:
Plaintiff claimed that Inland Counties Regional Center was a private, non-profit agency that entered into a contract with the State of California. On behalf of the state, Inland Counties Regional Center served the needs of persons with developmental disabilities in the San Bernardino and Riverside counties. Plaintiff claimed that Inland Counties Regional Center submitted thousands of transportation claims to the state Dept. of Developmental Services that were not actually provided to consumers. As a result, Southwestern received over $900,000 from Inland Counties Regional Center resulting in the false claims. Gilbert discovered the improper and false payments around 2009, and reported them to numerous agencies, including the DDS. In response, Inland Counties Regional Center terminated him in June 2009.

Plaintiff asserted causes of action for false claim, false record, conspiracy to submit false claims, avoidance of obligation to repay the United States, and wrongful termination.

DEFENDANTS' CONTENTIONS:
Defendants moved to dismiss the lawsuit in its entirety.

Damages

Plaintiff sought, among others, $11,000 in civil penalties and Gilbert's reinstatement with back pay, interest, and other compensation caused by defendants' wrongful acts.

Result

The district court agreed to dismiss the lawsuit because a similar lawsuit had been filed in the state court.

Other Information

FILING DATE: April 29, 2013.