fbpx
News
September 18, 2018

Last Week’s Statement Shows “New Vigilance” From DOJ

The “Statement of Interest” filed last week by the U.S. Department of Justice signals a “new vigilance” in preventing fraud and abuse in the asbestos trust system, Bloomberg Big Law Business reports.

In a statement, acting Associate Attorney General Jesse Panuccio said in recent years, alarming evidence has emerged of fraud and mismanagement inside asbestos trusts.” Panuccio said abuse of the system can have “wide-ranging harm,” including draining the system of funds that can go to legitimately injured claimants and lowering the chance that state medical-assistance funds like Medicare may not be reimbursed. The Statement of Interest cited a 2010 report by the Rand Institute for Civil Justice that found that 86 percent of all claims made to trusts and 37 percent of payments made were for claimants who did not have malignant conditions.

U.S. Chamber Institute for Legal Reform Lisa A. Rickard said in a statement that plaintiffs’ lawyers “commonly file ‘double dip’ claims against the trusts and in the courts, gaming the asbestos compensation system for their own benefit.”

Arizona skyline Blog Arizona Governor Signs Law to Prevent Over-naming in Asbestos Lawsuits Asbestos Blog West Virginia Wants to Pay Jurors More---That’s a Good Thing Asbestos, Other Issues News California Asbestos Verdict Reversed; Wrong State's Laws Were Used Asbestos News In The News-June 11, 2021 Asbestos News NYC Asbestos Suits Packed with Blameless Defendants Asbestos

Cookie Notice

By clicking “I Accept”, you agree to the storing of cookies on your device to enhance site navigation, analyze site usage, and assist in our marketing efforts.

Cookie Notice

By clicking “I Accept”, you agree to the storing of cookies on your device to enhance site navigation, analyze site usage, and assist in our marketing efforts. Review Settings