New Jersey U.S. Attorney collected $214 million in 2023 from criminal & civil cases

U.S. Attorney Philip R. Sellinger announced today that in Fiscal Year 2023, the District of New Jersey collected $214 million, representing the combined revenue from civil and criminal cases.

“Part of the mission of our office is to ensure that defendants are held financially accountable for their criminal and civil wrongdoing,” said Sellinger. “Our recoveries in fiscal year 2023 demonstrate this commitment.”

“We pursue restitution for victims, ensure that defendants are made to forfeit assets they have accumulated through criminal activity, and recover federal funds obtained through fraud,” said Sellinger. “We also recover debts owed to the United States in bankruptcy.”

Significant recoveries included a $14.7 million False Claims Act settlement the District of New Jersey entered into with Biotelemetry Inc. and Lifewatch Services Inc.

Both companies were alleged to have knowingly submitted inflated claims for remote cardiac monitoring that were not supported by medical necessity.

The district also recovered $4.25 million in an FCA settlement with Watermark Retirement Communities LLC, a senior living facility alleged to have received kickbacks in return for referrals to a nationwide home health agency that previously settled its liability with the government for $17 million.

The district’s significant bankruptcy recoveries included over $18 million of delinquent tax debts for the IRS and over $16 million of outstanding commercial loans for the U.S. Small Business Administration.

Breakdown of Recoveries:

• $33.4 million: Criminal actions
• $13.4 million: Civil actions
• $91 million: Joint cases with other U.S. Attorney’s Offices and Department of Justice components (includes $90.9 million in civil actions and $60,851 in criminal actions)
• $71.5 million: Recovered from civil bankruptcy proceedings involving federal agency debts
• $4.7 million: Asset forfeiture actions

Notable Recoveries:

• $14.7 million: False Claims Act settlement with Biotelemetry Inc. and Lifewatch Services Inc. for allegedly submitting inflated claims for cardiac monitoring services.
• $4.25 million: False Claims Act settlement with Watermark Retirement Communities LLC, a senior living facility accused of receiving kickbacks for referrals to a home health agency.

How Recovered Funds are Used:

• Restitution for victims of certain federal crimes
• Crime Victims Fund: Supports federal and state victim compensation and assistance programs
• Department of Justice Assets Forfeiture Fund: Restores funds to crime victims and supports various law enforcement initiatives
• Bankruptcy recoveries are returned to the relevant federal creditor agencies

This press release highlights the significant role the District of New Jersey plays in holding individuals and businesses accountable, while also recovering taxpayer funds and supporting victims of crime.