Whistleblower Secures $70MM Settlement for Alleged Municipal Bond Fraud and Price-Fixing
CHICAGO, March 21, 2024 /PRNewswire/ -- A $70 million settlement in a whistleblower lawsuit against eight of the nation's largest banks has been finalized and executed, making it the largest reported settlement ever under the Illinois False Claims Act.
- Edelweiss has brought similar lawsuits involving VRDOs on behalf of California, New York, and New Jersey, and those lawsuits are continuing.
- Johan Rosenberg, the principal of Edelweiss with more than 30 years' experience advising municipalities and other clients on VRDOs and other types of municipal bonds, stated: "I am gratified by the settlement.
- Under the False Claims Act in Illinois and numerous other states, whistleblowers can bring lawsuits on behalf of the government against those committing fraud against the government.
- For its successful settlement in Illinois, Edelweiss received the maximum reward of 30% of the government's $48 million portion of the settlement.