Employer Fraud

Halunen Law represented one of the class plaintiffs and was a class counsel in the case, Russo et al. v. Walgreens, alleging overcharges for certain prescription drugs in excess of Walgreens’ savings club prices. The class action settled for $100 million after being litigated for seven years, and is under the supervision of the federal district court in Illinois.

The federal district court in Illinois, which is overseeing the case, issued a recent order recently directing the processing of claims. In the next several months, the claims will be reviewed, deficiencies will be addressed, and payments will be issued.

If you have filed a claim, additional information is available at Walgreens Savings Club Settlement.

“Halunen Law is pleased that the case has settled, said class action attorney Susan Coler. “It has been a long haul, but Walgreens has ceased the challenged conduct and the persistence and patience of the class representatives has brought results for millions of Walgreen’s customers who filed claims.”

 

Susan (1)A Partner at Halunen Law, Susan Coler is a member of the Halunen Law False Claims Act (FCA)/Whistleblower Practice Group. She represents whistleblowers who challenge illegal corporate conduct, particularly fraud against the government. Susan represented a relator in an FCA claim against Abbott Laboratories that resulted in a civil settlement of $800 million (total settlement of $1.5 billion), the fifth-largest civil healthcare recovery ever achieved under the FCA. As an MSBA Labor and Employment Law Specialist, Susan has also brought successful retaliation claims in connection with FCA/qui tam cases and as stand-alone actions.

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UnitedHealth Group, the nation’s largest health insurer, has confirmed it is under federal investigation by the U.S. Department of Justice for its Medicare Advantage practices. This follows growing scrutiny from media outlets like The Wall Street Journal and STAT News, which raised serious concerns about the company’s billing and care management practices. The DOJ is reportedly investigating possible criminal fraud, and UnitedHealth has now acknowledged receiving both civil and criminal investigative requests.

This is just the latest in a series of crises for UnitedHealth, which has seen the abrupt resignation of top executives, mounting public backlash over care denials, and a massive drop in shareholder value—losing over $277 billion in market capitalization in the past year.

At Halunen Law, we have deep experience representing whistleblowers who expose fraud against the government, including violations under the False Claims Act and retaliation under federal and state whistleblower protection laws. These types of Medicare fraud investigations are precisely the cases we are committed to pursuing.

If you are a current or former employee of UnitedHealth Group or one of its subsidiaries and have information about unlawful conduct—such as inflated billing codes, improper patient care denials, or other fraudulent Medicare practices—or if you’ve experienced retaliation for speaking up, contact Halunen Law immediately. Our attorneys can advise you confidentially about your rights, the risks, and how to proceed safely.

Your courage can make a difference—and we are here to help.

Read CNN’s coverage: UnitedHealth confirms federal investigation into its Medicare practices

In what is believed to be the largest ERISA settlement stemming from poorly performing investment options in a 401(k) plan, UnitedHealth Group will pay $69 million in a class action case filed by plaintiff and whistleblower Kim Snyder. A former employee, Snyder claimed UnitedHealth Group failed to remove investments from a poorly performing Wells Fargo 401(k) plan. In so doing, employees invested in the fund lost hundreds of millions of dollars in potential retirement savings, Snyder alleged. Minnesota District Court Judge John Tunnheim gave final approval to the class settlement on June 12, 2025.

Sanford Heisler Sharp McKnight was the lead counsel on the case. Minneapolis-based Halunen Law attorney Susan Coler served as local counsel, providing legal advice and assistance. The case alleged that UnitedHealth had violated its fiduciary duties under ERISA by prudently and disloyally selecting, retaining, and monitoring the poorly performing Wells Fargo Target Fund Suite.

“This outcome is impressive and gratifying,” said Coler. “Snyder and the legal team worked tirelessly for four years to achieve this result, which will offer a direct financial remedy to class members who have been impacted. It was a pleasure to work with them and contribute to that result.”

Read more about this historic case settlement:

Press Release: Sanford Heisler Sharp McKnight Wins Final Approval of Record-Breaking $69 Million Settlement on Behalf of More Than 35,000 Retirement Plan Beneficiaries 

Minnesota Star Tribune: Judge approves $69M class action settlement in UnitedHealth 401(k) litigation

Minnesota Star Tribune: UnitedHealth Group agrees to $69 million settlement over low-performing retirement plan options.

401k Specialist: UnitedHealth Group Agrees to Historic $69 Million 401(k) ERISA Settlement

USA Herald -UnitedHealth Settles $60M ERISA Suit

National Association of Plan Advisors: ‘Historic’ Excessive Fee Suit Strikes $69 Million Settlement

Law360 – UnitedHealth to pay $69M in Suit Over 401(k) Fund Roster

Susan (1)A Partner at Halunen Law, Susan Coler is a member of the Halunen Law False Claims Act (FCA)/Whistleblower Practice Group. She represents whistleblowers who challenge illegal corporate conduct, particularly fraud against the government. Susan represented a relator in an FCA claim against Abbott Laboratories that resulted in a civil settlement of $800 million (total settlement of $1.5 billion), the fifth-largest civil healthcare recovery ever achieved under the FCA. As an MSBA Labor and Employment Law Specialist, Susan has also brought successful retaliation claims in connection with FCA/qui tam cases and as stand-alone actions.

In the March 12 article “Dellinger Exit Deepens OSC Politicization as Workers LoseAlly,” Bloomberg Law writer Khorri Atkinson examines the Trump administration’s termination, without explanation, of Special Counsel Hampton Dellinger as part of the president’s broader effort to seize control of independent agencies, and the potentially wide-ranging impact of these actions.

Asked to provide his perspective on Dellinger’s departure and decision to drop his case, Halunen Law attorney Paul Schinner offered that unless the Supreme Court intervenes in a similar dispute and clarifies the president’s authority to dismiss the head or a member of an independent federal agency, Dellinger’s firing may have set a precedent that allows future presidents to exert greater control over these agencies. He added, “It will be interesting what they do; whether they’ll replace Dellinger with someone more aligned with” the purported objectives of Elon Musk and his Department of Government
Efficiency to weed out fraud and wasteful spending, “or dismantle the Office of Special Counsel because they think it’s unnecessary.”

Read the full article, “Dellinger Exit Deepens OSC Politicization as Workers Lose Ally”

Paul Schinner

As a member of Halunen Law’s legal team, attorney Paul Schinner offers years of experience in employment law, with keen legal insights, hard-nosed negotiation skills, and a proven record of obtaining successful outcomes. Paul also has extensive experience navigating False Claims Act litigation and has represented whistleblower clients in these complex federal cases across a range of industries.

In his “Whistleblowing 101” article, Halunen Law employment attorney Paul Schinner offers key steps for people to consider when blowing the whistle on illegal workplace activity. These include knowing the laws protecting whistleblowers, taking tangible actions to build your case, and seeing the value of having an experienced employment law attorney at the helm. Worth a read, this article offers valuable guidance for potential whistleblowers.

Read the full article as published in the Legal Reader (PDF)

Paul SchinnerAs a member of Halunen Law’s legal team, attorney Paul Schinner offers years of experience in employment law, with keen legal insights, hard-nosed negotiation skills, and a proven record of obtaining successful outcomes. Paul also has extensive experience navigating False Claims Act litigation and has represented whistleblower clients in these complex federal cases across a range of industries.

 

With a successful practice in employment law and False Claims Act cases, Halunen Law attorney Paul Schinner

represents whistleblowers who speak up against illegal actions in their workplace. His extensive experience provides real-world insights for his recently published article, “Whistleblower 101: Protection Laws to Know Before You Speak.” Readers will find a useful guide to the statutes that protect whistleblowers along with steps and strategies to consider before blowing the whistle.

Read the full article as published in Attorney at Law Magazine (PDF)

Paul SchinnerAs a member of Halunen Law’s legal team, attorney Paul Schinner offers years of experience in employment law, with keen legal insights, hard-nosed negotiation skills, and a proven record of obtaining successful outcomes. Paul also has extensive experience navigating False Claims Act litigation and has represented whistleblower clients in these complex federal cases across a range of industries.

In a recent Bloomberg Law article, “Trump’s DEI Order Creates Murky Fraud Risks for Contractors,” reporter Khorri Atkinson explores a number of issues including the possibility that the False Claims Act could be used against federal contractors if they do not comply with Trump’s recent executive order prohibiting diversity, equity and inclusion initiatives.

Halunen Law attorney Paul Schinner weighs in, offering the order is “riddled with ambiguities” and has “no definition section. What jumped out is that the order uses buzzwords that Republicans have used to attack DEI efforts,” and states “the FCA could potentially be litigants preferred legal route.” However, he adds, “It’s very possible to maintain some form of intentional effort to boost inclusivity without running afoul” of the new administration’s order and the law.”

Read the full article as it appeared in Bloomberg Law (PDF)

Paul SchinnerAs a member of Halunen Law’s legal team, attorney Paul Schinner offers years of experience in employment law, with keen legal insights, hard-nosed negotiation skills, and a proven record of obtaining successful outcomes. Paul also has extensive experience navigating False Claims Act litigation and has represented whistleblower clients in these complex federal cases across a range of industries.

 

Misclassification in Trucking, Courier, and Delivery Services
Employee misclassification is pervasive across the United States, particularly in the trucking, courier services, and delivery industries. Employers frequently classify workers as “independent contractors” (ICs) rather than employees. This allows companies to save millions annually by sidestepping their legal obligations to pay withholding taxes, provide workers’ compensation and unemployment insurance, pay overtime, and reimburse vehicle maintenance and fuel. It also makes it easier for companies to avoid paying benefits like health insurance and providing rest breaks. This practice denies workers the rights and protections they deserve and means less income and no access to critical protections like workers’ compensation or unemployment insurance.

Amazon Flex Drivers: Misclassification and Employee Status
Amazon Flex drivers have become a focal point in the national conversation on worker misclassification. Flex drivers use their personal vehicles to deliver packages, operating under Amazon’s control and policies. While Amazon classifies them as independent contractors, a growing body of legal and agency decisions have concluded otherwise.

Consistent with this trend, lawsuits have been filed, for example, in states such as California, Massachusetts, and Washington, where Amazon Flex drivers have alleged misclassification and sought damages for:

  • Unpaid Overtime: Drivers frequently work more than 40 hours per week without receiving overtime pay.
  • Denied Rest Breaks: In states like California, drivers allege Amazon violates laws requiring meal and rest breaks.
  • Unemployment and Workers’ Compensation Coverage: Misclassified drivers are excluded from these critical safety nets.
  • Expense Reimbursements: Flex drivers must cover the cost of fuel, vehicle maintenance, tolls, and other work-related expenses, which drastically reduces their earnings.

Other companies facing independent contractor issues, like Amazon, include FedEx, OnTrac, USPak, and Swift.

Good News for Minnesota Workers: New Protections Under Minnesota Law

Minnesota recently enacted one of the best, if not the best, statutes in the country protecting workers from being misclassified as independent contractors.  Effective July 1, 2024, Minnesota Statute § 181.722 substantially strengthened protections for Minnesota workers in industries where misclassification is prevalent, including trucking, courier, and delivery services.  The statute prohibits anyone from entering into an independent contractor agreement that misrepresents the true nature of the parties’ relationship. It also imposes a per-violation penalty of up to $10,000 for those seeking to cut costs by entering into illegal independent contractor agreements with potential workers.

Key Changes to the Law:

  1. Stricter Classification Standards: Employers must now prove that the independent contractors they employ are genuinely independent. That is, they must demonstrate that the independent contractor operates a business separate from the employer and free from the employer’s control.
  2. Expanded Enforcement: The Minnesota Department of Labor and Industry (DLI) now has enhanced authority to investigate and enforce misclassification claims. Workers can also bring private lawsuits to recover damages and injunctive relief, meaning actual changes in how the employer treats its workers.
  3. Increased Penalties: Employers who misclassify workers face substantial penalties, including liability for unpaid wages, benefits, and tax contributions.
  4. Transparency in Contracts: Independent contractor agreements must clearly outline the nature of the relationship and provide detailed disclosures about the worker’s rights and obligations.

These changes empower workers and create significant risks for employers who continue to misclassify employees.

Why This Matters

Misclassification deprives workers of basic rights and protections while allowing companies to cut costs unfairly. Minnesota’s strengthened law represents a critical step in holding employers accountable. Truck drivers, couriers, and delivery workers—especially gig workers like Amazon Flex drivers—are now in a stronger position to fight for fair treatment.

What You Can Do

If you’re a truck driver, courier, or delivery worker working under an independent contractor arrangement—whether you work for Amazon Flex or another company—it’s vital to evaluate whether your classification status is legal. Signs of misclassification include:

  • Being required to follow strict schedules and routes set by the company.
  • Covering all work-related expenses, such as vehicle maintenance, fuel, and insurance.
  • Being denied access to benefits like overtime pay, health insurance, and workers’ compensation.
  • Having a contract that labels you as an IC but closely resembles an employment relationship.

Our legal team has extensive experience litigating high-profile misclassification cases, including cases against industry giants like FedEx. If you suspect you’ve been misclassified, we can help you fight for the wages, benefits, and protections you deserve.

Contact Us Today

If you believe you’ve been misclassified, we encourage you to contact our firm. When you call us at 612-605-4098 or submit a Case Review Form, your first point of significant contact will be with one of our Intake Specialists. Well-versed in Halunen Law’s practice areas, these professionals will listen to your concerns or review your Case Review and direct your inquiry accordingly. There is no charge for this confidential process. And, if we take your case, as a contingency-based law firm, there is no cost unless we win.

We’re here to help you navigate your rights under Minnesota law and ensure you get the treatment you deserve. Together, we can hold employers accountable and create a fairer workplace for everyone.

 

The United States Department of Justice recently filed a complaint in intervention alleging violations of the False Claims Act by Clarksville Pain Institute, LLC, Pain Institute of Nashville, PLC, Michael Cox, and Debbie Cox, announced Acting U.S. Attorney Thomas J. Jaworski for the Middle District of Tennessee.

The government began investigating the alleged wrongdoing in response to a lawsuit filed by Halunen Law and Morgan Verkamp, LLC of Cincinnati, Ohio, under the qui tam, or whistleblower, provisions of the False Claims Act (FCA). Under the FCA, a private party can file an action on behalf of the United States and receive a portion of any recovery.

The complaint alleges that the defendants put profit before patients through illegal activities that include subjecting patients to unreasonable and unnecessary testing that was then billed to federal health care programs, and other billing abuses. In some instances, the complaint alleges that patients had to agree to undergo the unnecessary testing if they wanted to receive their pain medications. Moreover, the defendants are alleged to have ignored multiple warnings from consultants, auditors, and insurers that their billing practices did not comport with Medicare requirements.

“We are pleased the United States has intervened in this case and will pursue justice on behalf of the clinic patients and our client, while also recouping United States taxpayers’ funds gained through medical fraud,” said Halunen Law FCA Attorney Susan Coler. “This case demonstrates the power of a single whistleblower stepping forward, courageously challenging an employer’s illegal practices, and bringing the full force of the government to rectify the wrongdoing. Halunen Law is proud to have initiated this case, and we look forward to holding the defendants accountable for their actions.”

Read the U.S. Attorney’s Office Press Release on this Case

About Halunen Law: Offering experienced representation to employees and whistleblowers nationwide, Halunen Law has achieved a reputation as a fearless, tenacious, and successful law firm focused on achieving justice and meaningful results for its clients. See halunenlaw.com.

Susan (1)Bloomberg Law News recently called upon Attorney Susan Coler’s extensive experience and deep understanding of the False Claims Act law to provide comments for its article, “Pandemic Fraud Fueled Record Year for False Claims Act Lawsuits.”

Coler stated, “The ‘frightening truth’ is that the No. 1 source of FCA settlements and judgments was fraud in the health-care industry,” adding, “This is “an area of our lives where certainty and trust are paramount, but fraud is ubiquitous.”

The article cites the U.S. Department of Justice’s recent report, which announced that the U.S. government and whistleblowers were party to 543 FCA settlements and judgments this past year—the highest number ever in a single year—and recovered $2.68 billion. The article highlights the recovery of $48.3 million from fraudulent Paycheck Protection Program (PPP) loans, which Coler shared “is just the tip of the iceberg—I anticipate this number will grow significantly in the coming years.”

Stressing the critical role whistleblowers and whistleblower protection laws play in FCA cases and the successful recovery of taxpayer funds, the article specifies whistleblower-initiated suits account for about 86% of the DOJ’s recovery, which Coler added “confirms that whistleblowers are a powerful force in fighting fraud and protecting taxpayer dollars.”

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