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Katrina 'whistleblower' lawsuit dismissed in favor of similar Scruggs lawsuit

Federal Judge Peter Beer yesterday dismissed a Louisiana "whistleblower" lawsuit filed under the federal False Claims Act that alleged massive insurance company fraud on the government in Hurricane Katrina claims adjusting. Beer cited an earlier-filed, similar lawsuit brought by prominent Mississippi trial lawyer Dickie Scruggs on behalf of his clients, the Rigsby sisters, as a jurisdictional bar to the Louisiana case. Both the Louisiana case and the Scruggs-Rigsby lawsuit, Ex rel. Rigsby, have been discussed in recent evidentiary filings by special prosecutors appointed by another federal judge, William Acker, to pursue a charge of criminal contempt against Scruggs. Click here to read my post at Insurance Coverage Law Blog about the two False Claims Act lawsuits and how they factor into the criminal case against Scruggs.

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Rafael Mangual
Project Manager,
Legal Policy

Katherine Lazarski
Manhattan Institute


Published by the Manhattan Institute

The Manhattan Insitute's Center for Legal Policy.