BOSTON - Aegerion Pharmaceuticals Inc. will pay more than $35 million to resolve federal criminal misdemeanor charges and civil claims that it promoted its expensive cholesterol drug Juxtapid for off-label uses and violated patient privacy and kickback laws in the process, the U.S. Attorney's Office for the District of Massachusetts announced Sept. 22 (United States of America v. Aegerion Pharmaceuticals, Inc., No. 17-cr-10288, D. Mass.).
BOSTON - A second federal criminal trial stemming from the deadly 2012 fungal meningitis outbreak tied to New England Compounding Center (NECC) got under way Sept. 19 in Boston (United States of America v. Glenn A. Chin, No. 14-cr-10363, D. Mass.).
BROOKLYN, N.Y. - Ruling that former pharmaceutical company CEO and hedge fund manager Martin Shkreli failed to show that he is not a "danger to the safety of any other person or the community if released," the New York federal judge overseeing Shkreli's criminal proceedings on Sept. 13 revoked Shkreli's bail and remanded him to custody pending sentencing on his conviction for securities fraud and conspiracy, according to a minute entry on the docket for the proceedings (United States of America v. Martin Shkreli, No. 15-637, E.D. N.Y.).
BROOKLYN, N.Y. - The U.S. government misled jurors by using a legally flawed definition of the term affiliate and its application to a conspiracy to commit securities fraud claim against former pharmaceutical company CEO and hedge fund manager Martin Shkreli in his criminal case, which prejudiced the jury, requiring acquittal on the count, Shkreli argues in Sept. 8 post-trial motion for acquittal (United States of America v. Martin Shkreli, No. 15-637, E.D. N.Y.).
NEW ORLEANS - A Fifth Circuit U.S. Court of Appeals panel on Aug. 18 ruled that a trial court did not abuse its discretion when it certified a general class and two subclasses of Texas prisoners suing the Texas Department of Criminal Justice (TDCJ) and two officials for allegedly failing to properly cool prison housing areas (Marvin Ray Yates, et al. v. Bryan Collier, et al., No. 16-20505, 5th Cir., 2017 U.S. App. LEXIS 15847).
SAN FRANCISCO - Allegations that a defendant gained access to copyrighted electronic design automation (EDA) software through fraud in violation of the Copyright Act are adequately pleaded, a California federal judge ruled Aug. 15 in denying a motion to dismiss (Synopsys Inc. v. Ubiquiti Network Inc., et al., No. 17-561, N.D. Calif., 2017 U.S. Dist. LEXIS 130070).
SAN FRANCISCO - A Ninth Circuit U.S. Court of Appeals panel on Aug. 10 held that two medical assistants who filed a qui tam lawsuit under the False Claims Act (FCA) against a podiatrist they worked for could not intervene in a criminal forfeiture action brought by the federal government seeking $1.2 million for false billing to Medicare because the employees lacked standing (United States v. Neil A. Van Dyck, et al., No. 16-10160, 9th Cir., 2017 U.S. Dist. LEXIS 14780).
DENVER - A Colorado appeals panel on Aug. 10 affirmed a man's convictions for first-degree arson, criminal mischief, theft and attempted theft for intentionally setting fire to a house he lived in with his mother and then-girlfriend to obtain insurance proceeds, finding that the trial judge did not err when allowing evidence regarding his previous insurance claims (People v. Christopher Wesley Welborne, No. 14CA2242, Colo. App., 5th Div., 2017 Col. App. LEXIS 1004).
BOSTON - Three former pharmacists who worked for New England Compounding Center (NECC) during a 2012 fungal meningitis outbreak on Aug. 9 told the First Circuit U.S. Court of Appeals that it should not reverse dismissal of certain criminal claims against them (United States of America v. Alla V. Stepanets, Nos. 16-2402, 16-2403 and 16-2404, 1st Cir.).
NEW YORK - In what the Second Circuit U.S. Court of Appeals is calling the first criminal appeal related to the London Interbank Offered Rate (LIBOR) to reach a federal appellate court, the appeals court on July 19 overturned the convictions of two former employees of Cooperatieve Centrale Raiffeisen-Boerenleenbank B.A. (Rabobank), ruling that a district court erred in allowing compelled testimony because it is not allowed in U.S. criminal cases even when it was compelled by a foreign sovereign (United States of America v. Anthony Allen, et al., Nos. 16-898-cr and 16-939-cr, 2nd Cir.).
BOSTON - The former head of New England Compounding Center (NECC) on July 7 appealed his conviction on mail fraud and racketeering charges to the First Circuit U.S. Court of Appeals (United States of America v. Barry J. Cadden, et al., No. 14-10363, D. Mass.).
BOSTON - A day after sentencing a defendant for his role in the fungal meningitis outbreak, a Massachusetts federal judge on June 27 scheduled the next criminal trial in the case for Sept. 15 (United States of America v. Glenn Chin, No. 14-10260, D. Mass.).
BOSTON - A Massachusetts federal judge on June 22 denied a judgment of acquittal or a new trial for Barry J. Cadden, the former head of the compounding pharmacy at the center of a deadly fungal meningitis outbreak (United States of America v. Barry J. Cadden, et al., No. 14-10363, D. Mass., 2017 U.S. Dist. LEXIS 96223).
ST. LOUIS - In a criminal fraud case, an Arkansas trial court correctly denied, based on a lack of authority, a request by an insolvent insurer's owner to be released from any further obligations of restitution once payment of $300,000 was made to the insurer's receiver, the Eighth Circuit U.S. Court of Appeals ruled June 15 (United States of America v. Frank Whitbeck, No. 16-1720, 8th Cir., 2017 U.S. App. LEXIS 10606).
RICHMOND, Va. - A Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) agent's experience alone is sufficient to qualify him as an expert, and his use of a gun-tracing report prepared by other ATF employees does not violate a criminal defendant's confrontation rights, the Fourth Circuit U.S. Court of Appeals found June 12 in affirming the defendant's conviction (United States of America v. Jarelle McLean, No. 16-4673, 4th Cir., 2017 U.S. App. LEXIS 10380).
ROCHESTER, N.Y. - A New York appellate panel on June 9 reversed a jury's verdict finding a woman guilty of arson, attempted insurance fraud and conspiracy after finding that the prosecutor's questioning of her husband about his criminal history and comments about the defendant's financial condition were prejudicial (People of the State of New York v. Shallamar L. Hayward-Crawford, No. 405 KA 14-01824, N.Y. Sup., App. Div., 4th Dept., 2017 N.Y. App. LEXIS 4506).
CINCINNATI - A federal judge in Michigan's failure to make a factual finding as to whether the government properly calculated the amount of loss Medicare, Medicaid and other insurers incurred as part of a health care insurance fraud scheme violated Federal Rule of Criminal Procedure 32, a Sixth Circuit U.S. Court of Appeals panel ruled June 1 in vacating the sentence (United States of America v. Vinod Patel, No. 15-1666, 6th Cir., 2017 U.S. Dist. LEXIS 9851).
NEW YORK - A Second Circuit U.S. Court of Appeals panel on May 31 affirmed a seven-count criminal conviction against Ross William Ulbricht, the founder of online criminal marketplace Silk Road, and upheld a trial court's imposition of a life sentence, finding that it was not unreasonable given the magnitude of criminal conduct (United States of America v. Ross William Ulbricht, No. 15-1815, 2nd Cir., 2017 U.S. App. LEXIS 9517).
LOS ANGELES - A California appeals panel on May 16 found that a junior high student's violent Facebook post was properly deemed a criminal threat under state law because it reasonably communicated a threat of death or bodily injury to identified targets, leading it to affirm a juvenile court's conviction and sentence (In re A.F., No. B270864, Calif. App. 2nd Dist., 2017 Cal. App. Unpub. LEXIS 3323).
GALVESTON, Texas - The Texas Department of Criminal Justice on April 26 filed an amended complaint against the Food and Drug Administration, asking a Texas federal court to declare that the FDA's impoundment of a drug for lethal injections is unlawful (Texas Department of Criminal Justice v. United States Food and Drug Administration, et al., No. 17-1, S.D. Texas).
DETROIT - Consumers who purchased Volkswagen vehicles with software designed to cheat emissions tests cannot seek restitution from the auto manufacturer as part of criminal proceedings brought by the federal government against the company because it would unduly prolong the sentencing process, a federal judge in Michigan ruled April 21 (United States of America v. James Robert Liang, et al., No. 16-cr-20394, E.D. Mich.).
ATLANTA - A fingerprint specialist may testify based on his qualifications and reliable method on the identification of a man charged with the violation of procuring naturalization and citizenship contrary to U.S. law, a Georgia federal judge held April 18 (United States of America v. Olu Kanni Sanyaolu, No. 16-cr-126, N.D. Ga., 2017 U.S. Dist. LEXIS 59294).
ALBUQUERQUE, N.M. - In a criminal case, a Drug Enforcement Agency special agent may not provide expert opinion testimony regarding drug code generally because the agent was not properly designated as an expert witness, a New Mexico federal judge ruled April 17; however, the special agent may provide lay opinion testimony "limited to his personal perceptions of the investigation and intercepted communications" (United States of America v. Fidal Abdeljawad and Ashley Watson, No. 15-cr-3394, D. N.M., 2017 U.S. Dist. LEXIS 58122).
DEERFIELD, Ill. - Baxter International Inc. on April 14 reported that an employee has received a grand jury subpoena pursuant to an antitrust criminal investigation taking place in the U.S. District Court for the Eastern District of Pennsylvania.