Government & Policy · Week of Nov 2, 2026
Federal fraud cases dominate: the week in government and policy
Justice Department enforcement actions led the week, alongside a VA construction award, Texas assessment approval and post-midterm analysis.
Half of this week's releases came from the Justice Department, covering a False Claims Act settlement with a California laboratory, an $18 million COVID-19 relief fraud indictment in Los Angeles, a 40-year sentence for a former Kokomo, Indiana, police officer, and a child exploitation complaint against an Oregon man. Fraud against federal programs was a recurring subject, with Lab Genomics LLC settling kickback allegations tied to federal health care billing and a Los Angeles woman charged over PPP and EIDL loans.
Outside enforcement, Wipfli outlined what Democratic control of both houses of Congress could mean for taxes, tariffs and regulation after the midterms, and MMJ International Holdings pointed to a November 5 deadline in federal marijuana rescheduling. In procurement and state policy, PKS-Burgos JV, LLC said it won a position on a $3 billion Department of Veterans Affairs construction contract, and NWEA said two of its assessments received provisional approval in Texas.
Justice News
California Laboratory and Its Owner Pay $1.25M to Settle Allegations of Kickbacks to Marketers
The Justice Department said Lab Genomics LLC and owner Leena Dalal agreed to pay $1.25 million to resolve False Claims Act allegations that they paid value and volume-based commissions to three marketers from January 2020 through September 2022, with whistleblowers Sunil Wadhwa and Ken Newton receiving $225,000. The department states the claims are allegations only and there has been no determination of liability, and alleged that invoices were structured to make commissions appear to be flat fees.
Wipfli
Wipfli Outlines What a Democratic-Led Congress Could Mean for Taxes, Tariffs and Regulations
Wipfli says the midterm elections saw the Democratic Party regain majority control of both houses of Congress, and its tax and advisory professionals are outlining implications for businesses on taxes, tariffs and regulations. The firm notes the current Congress returns on November 9.
MMJ International Holdings
Former DEA Administrator Sounds Alarm on Drug Safety as Federal Marijuana Rescheduling Faces Critical November 5 Deadline
MMJ International Holdings CEO Duane Boise points to warnings from former DEA Administrator Asa Hutchinson, the American Medical Association and GAO as federal marijuana rescheduling faces a November 5 deadline and courts review challenges to marijuana policy. The company says its CMS Beneficiary Incentive case is on appeal before the U.S. Court of Appeals for the D.C. Circuit.
Justice News
Utah Minor Recovered by Law Enforcement After Oregon Man Allegedly Transported the Victim to Engage in Criminal Sexual Activity
The Justice Department said an Oregon man is in federal custody and charged in a criminal complaint with transportation with intent to engage in criminal sexual activity. He allegedly met a Utah minor online in May 2025, drove to Utah to pick up the victim and transported the victim across state lines to his residence.
NWEA
NWEA Assessments Clear First Step of Approval in the New Statewide Assessment System in Texas
NWEA said MAP Growth and MAP Reading Fluency received provisional approval in Texas's new statewide assessment system, which it describes as a first step of approval. The organization says the decision gives Texas districts greater flexibility to measure student progress and support instructional decisions.
Justice News
Former Kokomo Police Department Officer Sentenced to 40 Years in Prison for Sexually Assaulting Minor, Lying to Investigators, and Destruction of Records
The Justice Department said former Kokomo, Indiana, police officer Sinmi Asomuyide was sentenced to 40 years in prison and three years supervised release for the on-duty sexual assault of a 14-year-old and related obstruction. He was previously convicted by a federal jury after a five-day trial in the Southern District of Indiana, and Assistant Attorney General Harmeet K. Dhillon cited the case as a civil rights matter.
Justice News
Los Angeles Woman Charged for $18M COVID-19 Relief Fraud Scheme
The Justice Department said a federal grand jury in the Central District of California indicted Marisela Nuno, 53, of Los Angeles over an alleged $18 million scheme to defraud the Paycheck Protection Program and the Economic Injury Disaster Loan program. Both are federal stimulus programs authorized under the CARES Act.
PKS-Burgos JV, LLC
PKS-Burgos JV, LLC Awarded Position on $3 Billion Department of Veterans Affairs Construction Contract
PKS-Burgos JV, LLC said it was awarded a position on a $3 billion, five-year multiple-award Department of Veterans Affairs construction contract. The company says the contract provides opportunities to compete for construction, renovation and infrastructure projects at VA healthcare facilities in Florida and South Georgia.
This roundup is written with AI assistance from the press releases listed above, using only what they state. The releases are the companies' own announcements, not MediaGabon reporting.