Siguler Guff Wins Dismissal in FCA Suit

On July 8, 2024, King & Spalding won a complete dismissal of a qui tam FCA action on behalf of its client, Siguler Guff, in the Southern District of New York. The relator had alleged that Siguler Guff violated the FCA by fraudulently inducing OPIC to extend a $150 million loan and then making various alleged misrepresentations to conceal defaults under the loan agreement. In November 2023, Siguler Guff moved to dismiss the complaint on the grounds that the relator’s theories were foreclosed by the FCA, inadequately pleaded, and time-barred. On July 8, Judge Failla granted Siguler Guff’s motion to dismiss the relator’s complaint in its entirety. In addition to delivering a complete victory for Siguler Guff, Judge Failla’s opinion and order contain important guidance regarding the scope of the FCA, its statute of limitations, and pleading requirements.