The Department of Justice announced a significant $8.1 million settlement on July 15, 2025, following a whistleblower case that uncovered the misuse of federal pandemic relief funds. The case, spearheaded by Dr. Herbert Remidez and represented by Hoyer Law Group, PLLC, alleged violations of the False Claims Act involving the Payroll Support Program (PSP) established under the CARES Act.
According to the complaint, certain employees at the defendant company received compensation exceeding statutory limits set by the PSP, and the company continued to certify compliance despite these breaches. The settlement includes over $4 million in restitution, with the whistleblower entitled to a statutory share of the recovery. This outcome underscores the critical role of whistleblowers and the legal system in safeguarding taxpayer dollars.
Dave Scher, a partner at Hoyer Law Group, praised the resolution as a testament to the False Claims Act’s purpose, emphasizing the importance of integrity and accountability in the use of public funds. Dr. Remidez expressed his gratitude towards the Department of Justice and his legal team for their support throughout the process.
The case, officially known as United States ex rel. H Remidez LLC v. Delta Air Lines Inc., No. 1:23-cv-01116, was filed in the U.S. District Court for the Northern District of Georgia. It highlights the ongoing challenges and necessary vigilance in monitoring the use of emergency government aid during crises.
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