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Posts from Joshua Newville, a Minnesota employment lawyer, civil rights attorney, and mediator.

Newville Whistleblower Case Leads To $6.2 Million Recovery; Defendant CEO Faces One Year In Prison

(Madison, WI, October 27, 2016)—A stipulation based on a criminal plea deal and a monetary settlement was filed today to resolve a healthcare fraud case involving a western Wisconsin laboratory. The case, United States of America, et al., ex rel. Danielle Ailts Campeau v. NeuroScience, Inc., et al., 13-811 (W.D. Wis.), was filed three years ago by Attorney Joshua Newville on behalf of client Danielle Ailts Campeau.


money and pharmaceutical drugs

In October 2013, Newville and Campeau contacted the FBI and the Department of Health and Human Services regarding Osceola, WI-based defendants Pharmasan Labs, Inc., NeuroScience, Inc., and Gottfried Kellermann (the founder and owner of the companies). Ms. Campeau alleged that the defendants were committing fraud on the United States and on the States of Wisconsin, Minnesota, and New York by selling illegitimate laboratory testing services, reporting illegitimate test results, and then using those baseless tests and test results to sell nutritional supplements under a different business name.


Newville subsequently filed, under seal, the lawsuit that led to the settlement and criminal plea deal outlined today. After three years of working with various federal agencies to investigate and prosecute the case, Ms. Campeau now joins the government in requesting that the case be resolved pursuant to stipulation.


The stipulation comes after NeuroScience and owner Gottfried Kellermann pleaded guilty earlier this month. As part of the settlement agreement, which was attached to the filing of today’s stipulation, the defendants will pay a total of $6,188,769. Additionally, NeuroScience and Kellermann face additional fines of up to $500,000 and $100,000, respectively. Kellermann, who is 75 years old, also faces up to one year in prison. As part of the resolution of this matter, Ms. Campeau and her attorneys will be paid a combined total of over $1.3 million.


Said Ms. Campeau’s attorney, Joshua Newville of Minneapolis: “Healthcare fraud is a serious problem threatening public health and the integrity of taxpayer funds across the country. Employees of companies engaging in illegal activity in order to pad their coffers are in a unique position. Not only are these employees legally protected if they blow the whistle on their employer, but the government will reward them for doing so—in the form of sometimes-significant monetary compensation. We remain committed to assisting whistleblower employees like Ms. Campeau, who are critical in alerting the government to unsafe and fraudulent activity by healthcare providers and related services.”


See also: United States Department of Justice Press Release



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Joshua Newville is a Minnesota employment lawyer, civil rights attorney, and mediator. Josh litigates and advises on such matters as wrongful termination, whistleblowers, discrimination, police misconduct, and more. He offers legal consultations and online case reviews regarding employment law and civil rights.

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