Qui Tam Lawsuit Yields $4.4 Million Settlement, Whistleblower Award

By Danielle Briones

Published on September 23, 2005

Cornell agreed to a $4.4 million settlement, but admits no malfeasance occurred on the college or faculty's behalf.

The whistleblower lawsuit was filed by Kyriakie Sarafoglou, who was hired to work at Cornell as a research subject advocate, salaried by the NIH.

Sarafoglou says she discovered Cornell was using part of the research grant provided by the NIH for private patient care.

According to the lawsuit, Sarafoglou claims Cornell overstated hospital stays, asked for salaries for employees who no longer worked at the medical center, and that money intended for children's research went toward private care.

Investigations found that Cornell did breach several NIH regulations.

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Keyword Tags: criminal law, securities fraud, qui tam

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