Satterlee Stephens LLP Obtains Dismissal of $250 Million New York False Claims Act Case

09-28-2017

Satterlee Stephens obtained dismissal of a $250 million Qui Tam action, brought under the New York False Claims Act (NYFCA), on behalf of its client Bayrock Group LLC (“Bayrock”) and related entities and individuals.  The claims, relating to Bayrock’s development of the Trump SoHo as well as other Trump projects, were brought in New York State Supreme Court and alleged that Bayrock and numerous other defendants, including large law and accounting firms, had engaged in  tax fraud.   Satterlee argued that the claims should be dismissed because, among other grounds, the relator’s partner and counsel, Frederick Oberlander, had engaged in misconduct in bringing the action – the complaint was based on Bayrock’s privileged and confidential information that Oberlander had improperly obtained.  The Court, Justice Charles E. Ramos, agreed with Satterlee, and dismissed the complaint in its entirety against all defendants.  The Bayrock defendants were represented by Satterlee Partner Walter Saurack.