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FCA Allegations Regarding Employee Billable Time in U.S. Disaster-Relief Efforts Survive Motion to Dismiss

On September 27, Judge Oetken of the Southern District of New York granted in part and denied in part defendants' motion to dismiss an FCA whistleblower's claims that CDM Smith, Inc. and CDM Constructors, Inc.—subcontractors of USAID who were involved in rebuilding efforts in Pakistan after the devastating 2005 earthquake—had submitted false billing claims to the government for employee time and subpar work. The whistleblower, Saif Hussain, a former CDM engineer, also alleged retaliation. The court allowed the allegations concerning employee billable time to go forward, applying the recent Chorches standard in Hussain's favor. More

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