Foley Hoag’s Business Crimes practice group has extensive experience throughout the country, and can provide you with highly effective counsel.

We provide comprehensive legal advice to businesses and executives who are subject to government civil and criminal investigations or who are the victims of criminal wrongdoing. We also represent clients who need an assessment of a matter under investigation, or guidance on the government enforcement or investigative process.

Additionally, we have substantial experience conducting confidential internal investigations, and we regularly assist our clients in developing and implementing compliance programs.

Defense of Companies and Personnel

Much of our work involves defending companies and their directors, executives and employees in criminal, civil and administrative investigations, prosecutions and other proceedings. We have successfully represented global, national and regional pharmaceutical companies, medical device companies, high tech companies, financial institutions, securities firms, insurance companies, environmental firms, manufacturers, government contractors and health care providers, as well as their officers (at the level of CEO, CFO and Chair of the Board), directors and employees.

We work with health care clients representing providers, pharmaceutical and medical device companies, and others in cases involving alleged Medicare and Medicaid fraud, and FDA or other federal regulatory violations. We have represented executives in a wide range of securities investigations and enforcement actions, including cases concerning alleged options backdating, market timing, insider trading and other claims of fraud. We also counsel financial institutions in connection with federal investigations concerning bank fraud, FDIC regulatory violations, money laundering and related allegations, and represent corporations and individuals in federal and state tax investigations. We have worked with many high tech companies in matters involving government contracting and alleged false claims, export controls and controls over classified information, and alleged theft of technology or proprietary information.

One key to success in business crimes matters is the speed and thoroughness of the response. Therefore, we work closely with client representatives in planning and executing internal investigations in a privileged environment, and develop strategic responses to any actual or potential problems. Our clients often face not only criminal investigation and possible prosecution but also collateral civil proceedings. These proceedings could involve government regulatory enforcement actions seeking civil fines, asset forfeiture or debarment from government contract work as well as claims pought by private parties, such as “whistleblower” actions, securities claims or other civil litigation. We provide a comprehensive and coordinated response to address all fronts.

Challenging situations call for creative and dynamic solutions. Our clients rely on our extensive experience in negotiating global resolutions of criminal and related civil or regulatory matters to reach a favorable and cost-effective resolution. Given an ever-increasing emphasis on effective corporate compliance programs, we work closely with our clients to develop programs uniquely tailored to each client’s business needs and organizational structure. However, when federal and/or state agencies will not decline prosecution or negotiate a satisfactory global resolution, we place our client in the best position to defend against formal charges of wrongdoing. Our attorneys—who include experienced former federal and state prosecutors—have a wealth of highly successful trial experience in federal and state courts across the country.

Non-Government Litigation

As a natural outgrowth of our practice, we also represent those who have been the victims of fraudulent schemes by their own employees, business associates or others. In appropriate cases, we will refer the matter to prosecuting authorities and assist our client in cooperating with the investigation. We develop the most effective strategy for pursuing available remedies aimed at maximizing recovery of lost money or property and minimizing the ongoing disruption to their business.

Strategic Advice

We also provide strategic advice to our clients who are looking for an assessment of an ongoing proceeding. For example, we consult with businesses interested in an assessment of an ongoing government criminal, civil or regulatory enforcement proceeding, and the potential impact to their operations. We have also consulted on ongoing proceedings for interested third-party companies, such as an investment company with an ownership stake in the company involved in the proceedings. In these engagements, we provide our clients with our sound judgment based on our years of experience.

Representative Experience

We have successfully represented a wide variety of businesses, including major healthcare providers, financial services companies, technology companies, manufacturers, government contractors, insurance companies and securities firms, as well as their executives and other individuals. Examples of such representations include:

Securities/Financial Services

  • Defended senior executives, including CEO and CFO level officers, in civil and criminal investigations concerning alleged stock options backdating
  • Defended companies and senior executives and managers of hedge funds in civil and criminal investigations and related class actions concerning alleged market timing
  • Defended companies and senior executives, including CEO and CFO level officers, in civil and criminal investigations concerning alleged revenue recognition issues, including, for example, defending the founder and CEO of a high tech firm in federal investigation and related derivative and class actions
  • Defended companies and individuals in federal insider trading investigations and related SEC enforcement and class actions, including for example, defending a major hedge fund, the Board chair of a financial institution, and a senior money manager of a major mutual fund company
  • Defended the CFO of a public company in an investigation by a major stock exchange involving the officer’s relationship with certain securities specialists
  • Defended a major brokerage firm in class action alleging consumer fraud
  • Defended a senior executive at a major financial services company against an SEC enforcement action, obtaining dismissal of all claims
  • Served as special counsel to the board of directors of a multi-billion dollar pension fund in an internal investigation of alleged wrongdoing by fund management and others

Health Care

  • Defended major pharmaceutical companies and their executives and sales representatives in federal anti-kickback and off-label investigations
  • Defended a major specialty pharmacy in a federal false claims act litigation
  • Defended major pharmaceutical and other companies and their executives and employees in federal and state investigations regarding potential Medicare or Medicaid fraud, including in multi-district litigation concerning alleged pricing fraud
  • Defended companies and individuals in federal investigations concerning clinical trial activities and allegations of fraud in connection with obtaining FDA approvals
  • Defended senior biomedical engineers and others in connection with a federal fraud investigation regarding medical devices and manufacturing processes, as well as economic espionage
  • Represented a major international pharmaceutical company in connection with an investigation by the Office of the Attorney General of Massachusetts of a number of companies that manufacture blood factor concentrates used in the treatment of individuals with hemophilia. The investigation occurred at a very sensitive time for civil litigation throughout the United States related to the alleging transfer of the HIV virus to hemophiliacs through certain blood products. We were able to negotiate a successful resolution in which the attorney general closed his investigation without jeopardizing the then-pending settlement of the civil litigation. 
  • Represented a physicians' group based in one of the major teaching hospitals in Boston in making New England's first successful voluntary disclosure and repayment to the Medicare, Medicaid and CHAMPUS programs pursuant to the Office of Inspector General's voluntary disclosure program. We negotiated a settlement agreement in which no penalties were imposed on the client, and designed a corporate integrity agreement which we believe was the first such agreement to dispense with a retrospective audit requirement in favor of a purely prospective audit protocol. We also advised the client on implementation of a compliance program approved as part of the settlement. 
  • Represented a senior executive of a major national medical products and services company in connection with an extensive federal grand jury and Office of Inspector General investigation. Although our client had specifically been identified as a target of the grand jury investigation, we were able to successfully persuade federal prosecutors not to seek an indictment against him. As a result, our client faced no criminal prosecution and is still employed in the health care industry. 
  • Advised major pharmaceutical, insurance and other companies and public agencies on the implementation of comprehensive compliance programs

Tax

  • Represented a major Middle Eastern financial institution in a federal tax investigation
  • Represented the acquirers of a privately held construction firm in resolving state and federal employment and income tax issues caused by prior ownership
  • Represented a global asset management firm and its CEO in resolving a federal tax investigation
  • Represented corporations and their executives in resolving federal and state payroll and income tax issues, including by assisting companies to make voluntary disclosures and negotiate a global civil resolution to state and federal tax liability.

High Tech

  • Defended the founder and CEO of a high technology firm in a federal investigation and related derivative and class actions involving revenue recognition issues
  • Represented high technology companies and their executives in defending against claims of intellectual property or trade secret theft
  • Represented high technology companies in connection with intellectual property and technology matters, including pursuing investigations of alleged theft of trade secrets and attacks on computer networks
  • Represented a New England-based software publisher in connection with a federal Department of Defense civil and criminal investigation of alleged misuse of government sensitive contractually-provided intellectual property. We successfully negotiated a global resolution of all matters, enabling the company to continue its commercial and consumer business unimpeded, while avoiding debarment and thereby preserving its ability to provide goods and services to federal and state government agencies. 
  • Defended a board member and a CTO of a high technology company in a federal money laundering investigation involving alleged international financial transactions 
  • Defended a government contractor and its ownership against charges of violations of export controls governing military and dual use technology

Environmental

  • Represented a national environmental remediation firm in an internal investigation into allegations raised in-house suggesting a potential pattern of fraudulent billing in connection with certain government contracts. We guided the client as it took remedial action against certain employees and made a voluntary disclosure to the government that included a rebate of the overcharged funds. The company's response not only preserved its ability to continue to perform its existing government contracts, but also prevented disqualification from future government contract work. 
  • Represented a publicly held environmental remediation firm against federal charges of RCRA and Clean Water Act violations. We convinced federal prosecutors not to pursue criminal charges and negotiated a favorable civil and administrative settlement. 
  • Represented a major electronic component manufacturer against alleged state and federal environmental violations. We persuaded state prosecutors to decline prosecution and negotiated a favorable settlement with regulatory authorities.

Other

  • Represented companies and individuals in federal and state investigations concerning allegations of government procurement fraud, commercial pibery, and fraud, gratuities or kickbacks in connection with federal financial aid programs
  • Represented construction engineers and consultants in federal and state investigations concerning allegations of fraud in the construction of substantial public works projects
  • Defended government contractors and their executives and employees in federal civil false claims act and related qui tam litigation
  • Served as special counsel to a nationally recognized non-profit organization in an internal investigation of alleged wrongdoing in connection with fundraising 
  • Represented a major national manufacturer in a series of matters growing out of the discovery of a kickback scheme involving certain company employees and contractors. We assisted the company in cooperating with ongoing grand jury and tax investigations, and in pursuing the company's remedies against the wrongdoers through civil RICO litigation. As a result, we enabled the company to recover funds from a number of sources, including the former employees and contractors involved in the scheme. 
  • Represented a high ranking municipal official in a state public corruption investigation, persuading state prosecutors that our client had not engaged in wrongdoing