November 26, 2022

Volume XII, Number 330


November 23, 2022

Subscribe to Latest Legal News and Analysis

What Is Covered By The False Claims Act? [VIDEO]

The False Claims Act makes it unlawful to get money from the federal government by fraud. 

The types of fraud potentially covered by the False Claims Act are broad and varied. It has been used successfully by qui tam whistleblowers in many different types of cases. The following are just a few examples of the types of cases that a False Claims Act whistleblower can bring on behalf of the government:

Healthcare Fraud Cases

Healthcare whistleblowers have used the False Claims Act to combat fraud on the Medicare and Medicaid systems. Unscrupulous healthcare providers and pharmaceutical companies who submit claims to the Medicare or Medicaid system must provide various types of information, and maintain certain specified records, in order to legally claim reimbursement. If a provider submits a claim for payment to which it is not entitled, or falsifies the documentation supporting the claim, then the provider may be violating the False Claims Act.

Government Contract Fraud

When it comes to government contracting, the government relies heavily on qui tam whistleblowers to help expose the schemes and fraudulent actions of large government contractors. Some examples of fraud that a False Claims Act whistleblower might expose include failure to follow contract specifications, overbilling, or obtaining contracts through false statements.

Government Funding Fraud

Qui tam whistleblowers can help combat fraud on the various government-funded loan programs, such as those that provide or guarantee student loans, as well as fraud in connection with government grants. Cases of student loan fraud often involve institutions of higher learning making false statements to the Department of Education in order to meet certain eligibility requirements. Types of grant fraud could include misrepresenting how funds will be used, what the intended projects will do, and what the applicants’ qualifications are to complete the projects.

These are just some examples of what types of fraud are covered under the False Claims Act. Any time a company or institution lies to make money from a government program, there is a potential violation of the False Claims Act, and a qui tam whistleblower could have the opportunity to bring a case on the government’s behalf.

If you have information that fraud has been committed, you may be able to bring a qui tam lawsuit under the False Claims Act. Successful qui tam whistleblowers can receive an award of between 15% and 30% of the amount recovered. However, these are complex cases that need to be undertaken by skilled and experienced qui tam law firms

© 2022 by Tycko & Zavareei LLPNational Law Review, Volume III, Number 308

About this Author

Jonathan K. Tycko leads the Whistleblower Practice Group of Tycko & Zavareei LLP

In recent years, the laws of the United States have undergone a whistleblower revolution. Federal and state governments now offer substantial monetary awards to individuals who come forward with information about fraud on government programs, tax fraud, securities fraud, and fraud involving the banking industry. Whistleblowers also now have important legal protections, designed to prevent retaliation and blacklisting.

The law firm of Tycko & Zavareei LLP works on the cutting edge of this whistleblower revolution, taking on even the most complex and confidential whistleblower...