Issue No. 57
U.S. Attorney’s Report to the District
Civil Recoveries for Fiscal Year 2014
In fiscal year 2014, which ended September 30, this office collected more funds for the taxpayer than in any prior year in the history of the Eastern District of California. On our own and together with other U.S. Department of Justice components, we collected over $9 billion. That figure reflects actual amounts collected, not judgment amounts.
Most of this amount is attributable to recoveries resulting from the settlement of the huge JPMorgan Chase case, including a $2 billion penalty directly attributable to this office’s investigation of wrongdoing relating to the sale of residential mortgage-backed securities by JPMorgan Chase. The total settlement in that case was announced last November. In addition to that case, however, this office collected $21.3 million in criminal and civil actions finalized in Fiscal Year 2014. Of this amount, over $8 million was collected in criminal actions, including both fines and restitution for victims, and over $13 million was collected in civil actions. As reported in my October Report to the District, Issue #55, Fiscal Year 2014 was also a record for civil and criminal asset forfeitures in this district, with nearly $26 million in deposits to the national asset forfeiture fund from the liquidation of assets forfeited in criminal and civil cases in this district.
For the nation as a whole, Attorney General Eric Holder announced last month that the Justice Department collected $24.7 billion in civil and criminal actions in Fiscal Year 2014. That amount represents nearly eight and a half times the appropriated $2.91 billion budget for the 94 U.S. Attorneys’ offices and the main litigating divisions of the U.S. Department of Justice in that same period.
While not every year will involve recoveries of the magnitude of the JPMorgan case, we expect Fiscal Year 2015, which began in October, will be another good year for asset recoveries in the Eastern District of California. Last month we announced that Biotronik, Inc., a medical device manufacturer, had paid nearly $5 million to settle claims that it made improper payments to induce physicians to use its devices. We expect to announce a much larger settlement later this month in a federal contract case.
Our success in collecting funds owed to the American taxpayer and to victims of crime is due to the dedicated work of the attorneys, paralegals, investigators and support staff in our affirmative civil team. That team will continue to vigorously pursue funds that rightfully belong to U.S. taxpayers, and to seek compensation for victims of federal crimes.
If you would like to communicate with our office, contact the main number in Sacramento, or submit a suggestion by clicking on the button below. Thank you.
United States Attorney
Benjamin B. Wagner