Illinois Health Facilities Authority Ex Rel. Scachitti v. Morgan Stanley Dean Witter & Co.

Plaintiffs Raymond G. Scachitti, Patrick J. Houlihan, and Robert E Rifkin brought this qui tam action pursuant to the Whistleblower Reward and Protection Act (740 ILCS 175/1 et seq. (West 2006)), on behalf of Illinois Health Facilities Authority (the Authority) against defendant Ernst & Young LLP. Plaintiffs alleged that defendant fraudulently issued a materially false verification report that caused the Authority to pay above-market prices for United States Treasury bonds (Treasury bonds) purchased in connection with an advance refunding bond issuance. The circuit court dismissed plaintiffs’…