Virginia-based home furnishings company, Bassett Mirror Company has agreed to pay the U.S. Justice Department $10.5 million to resolve allegations that it violated the False Claims Act. The company knowingly made false statements on customs declarations to avoid paying antidumping duties on wooden bedroom furniture imported from the People’s Republic of China (PRC). The Justice Department learned of the fraud from a courageous whistleblower, who will receive almost $2 million for her tip.

The Law Protects and Rewards a Whistleblower

When a knowledgeable attorney like those found at The Michael Brady Lynch Firm files a False Claims Act lawsuit, he or she files it under a seal. This means it is completely confidential. There is also a full disclosure statement in the suit, which details the evidence collected by a whistleblower.
After we file your suit, the Department of Justice will review the evidence before deciding to step in and decide if they want to prosecute the case. The government’s fraud investigator will work closely with you, the whistleblower to identify all responsible for the fraud.
You could be entitled to 15-30% of the funds recovered. In order to receive the reward, you must be the first one to file a case under the False Claims Act. This is why it is key to pick an experienced attorney to work quickly to get your compensation.

Furniture Company Defrauds Government

The Justice Department released a statement saying that between January 2009 and February 2014, Bassett Mirror evaded anti-dumping duties owed on wooden bedroom furniture that the company imported from the PRC. The company did so by knowingly misclassifying the furniture as non-bedroom furniture on its official import documents. Antidumping duties protect against foreign companies “dumping” products on the U.S. market at prices below cost. The Department of Commerce assesses, and the Department of Homeland Security’s Customs and Border Protection collects, these duties to protect U.S. businesses. This also ensures an equal playing field for domestic products. Since 2004, the government has placed these anti-dumping restrictions on imports of PRC-made wooden bedroom furniture. PRC made wooden bedroom furniture has a 216% antidumping duty, however, non-bedroom furniture does not have any.
The settlement comes from a courageous whistleblower who came forward under the whistleblower provision of the False Claims Act.  Attorneys for the whistleblower filed a civil lawsuit in the Southern District of Georgia (United States ex rel. Wells v. Bassett Mirror Company, Inc. et al., Civil Action No. 4:13-CV-000165). The Justice Department will give the whistleblower around $1.9 million for her assistance.

Premier Complex Litigation Attorneys

The Michael Brady Lynch Firm has successfully represented thousands of consumers and recovered millions of dollars for their clients. Our team of attorneys has been recognized as some of the most experienced and successful in the country. Our award-winning staff is also sought after for our knowledge of complex litigation, scientific evidence development, negotiation strategies and trial tactics.
Most of all, our law office is resourceful and dedicated to pursuing any compensation you are due. Because of this, we have received a high degree of peer recognition and professional achievement, such as inclusion on numerous Plaintiff Steering Committees. We will take whatever legal measures are necessary when fighting for your rights to damages.
Therefore, if you believe you have uncovered evidence of fraud involving a government-funded program, contact us today. Our attorneys have represented many clients in the past with complex cases. We will work tirelessly to obtain results on your behalf.