Calderon v. Pineda Carmona

Background

Jason Calderon filed the action without a lawyer and was previously allowed to proceed without paying the filing fee in advance. He sued Saul Yebrial Pineda Carmona, Fundacion Monteria Diversa, and the State of New York. The complaint alleged, among other things, that Pineda Carmona and associates stole Calderon’s mail, used his accounts, caused fraudulent transactions involving government benefits, participated in human trafficking and kidnapping, and made false claims against him. Calderon sought relief under the False Claims Act, including treble damages, exoneration from false claims, an order of protection, relocation to a safe house, and Pineda Carmona’s removal from the country.

False Claims Act

The False Claims Act imposes liability for knowingly presenting a false or fraudulent claim to the United States government. A private person may bring such a case on behalf of the United States, but the United States remains the real party in interest. The court held that a person representing himself cannot prosecute this type of case because it is not an individual case involving his own personal legal interest.

The court also explained that the complaint mainly alleged fraud against Calderon and New York State, including the New York State Department of Labor. That would not satisfy the requirement that a False Claims Act case involve fraud against the federal government. The court dismissed the False Claims Act claims without prejudice because Calderon could not prosecute them without counsel. The court noted that Calderon briefly mentioned possible Medicaid fraud but provided no facts explaining when, where, or how that fraud occurred. Because Medicaid is a federal program, the court stated that Calderon could potentially pursue such a claim through counsel if appropriate.

Request to Seal

Calderon asked the court to keep the action under seal. The court denied that request. It explained that the False Claims Act’s special sealing provision no longer provided a basis for secrecy because the court had dismissed Calderon’s False Claims Act claims. The court also stated that pleadings are judicial records subject to a strong presumption of public access, and Calderon had not overcome that presumption.

Jurisdiction Over Other Claims

The court considered whether it could hear any state-law claims under diversity jurisdiction, which generally requires every plaintiff to be a citizen of a different state from every defendant and requires more than $75,000 to be in dispute. The complaint stated that Calderon lived in Bronx County, New York, and that Pineda Carmona also lived there. It stated that the organization had its principal place of business in Bronx County, and the State of New York was also named as a defendant. The court therefore concluded that complete diversity was absent. It added that the amount in controversy also appeared to be below the required threshold.

After dismissing the federal claims, the court declined to exercise supplemental jurisdiction, meaning its discretionary authority to hear related state-law claims. Any state-law claims Calderon may have been asserting were dismissed without prejudice to refiling them in an appropriate forum.

Leave to Amend and Disposition

The court declined to give Calderon permission to amend because he could not proceed without counsel on the False Claims Act claim and the allegations did not establish diversity jurisdiction. The court stated that, if Calderon obtained counsel, he could move within 60 days to reopen the action and replead a False Claims Act claim based on alleged Medicaid fraud.

The court denied the request to file the action under seal, dismissed the False Claims Act claims without prejudice, and declined to exercise supplemental jurisdiction over any state-law claims. It also certified that an appeal would not be taken in good faith and denied permission to proceed without prepaying fees for an appeal. Judge Laura Taylor Swain signed the order.