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$22M Awarded in Whistleblower Wrongful Termination Lawsuit.


This is a settlement for the Employment lawsuit.

Santa Clara, CA: A former employee who filed a wrongful termination lawsuit alleging he was let go by his employer after reporting illegal sales activity, has been awarded $22 million by the jury hearing his case.

Steven Babyak, who had worked from October 2012 to June 2015 as a sales manager for defendant Cardiovascular Systems Inc. ("CSI"), alleged he was let go from his job in June 2015 after acting as a whistleblower by revealing illegal kickbacks to doctors, as well as FDA policy violations and violations of the Sarbanes-Oxley Act (SOX).

The jury awarded a total award of $25,142,120, which includes economic damages regarding lost past and future earnings of $2,742,120, and punitive damages of $22,400,000. The trial took just five days, during which time Babyak stated that as a result of complaining directly to CSI's upper management about the alleged violations, he was immediately retaliated against. When Babyak reported the alleged retaliatory behaviors and actions to CSI’s upper management, an investigation was launched, but CSI stated that they found "no evidence of retaliation" or wrongdoing by the company.

Several weeks after Babyak had reported his initial concerns and a resulting re-assignment of sales territory, he discovered new and additional legal violations which he reported to CSI's regulatory department as a possible SOX violation. Upon hearing Mr. Babyak's new complaint about possible SOX violations, CSI management became extremely displeased and even told plaintiff to stop reporting violations and to "get on the bus and move on." Babyak then submitted a formal complaint outlining the SOX issue. Just weeks after his formal SOX complaint, CSI terminated Babyak.

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Published on May-26-17


READER COMMENTS

Posted by
jordan candelera
on
get on the bus???whose bus???

Posted by
Diane
on
It seems like you are only good and winning if you are after a private company. If it is against the government, you don't try because you can't win?

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