9th Circ. Judge Calls DOJ's Appeal In FCA Suit 'A Mistake'

Law360 (November 14, 2019, 9:23 PM EST) -- A Ninth Circuit judge on Thursday criticized the U.S. Justice Department's efforts to end a whistleblower's False Claims Act suit against Academy Mortgage Corp., saying the DOJ "probably made a mistake" by seeking the interlocutory appeal and should have instead tried to satisfy the district court's concerns about dismissal.

During a hearing in San Francisco, DOJ attorney Melissa N. Patterson argued that the agency is unfairly being required to divert its enforcement resources to investigate a whistleblower lawsuit accusing Academy Mortgage of pushing unqualified Federal Housing Administration loans to get government insurance money.

Patterson said the lower court should have granted...

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