False Claims Act
Overview of Cases
The False Claims Act allows private citizens to sue those that commit fraud against government programs. The law provides awards to whistleblowers of between 15% to 30% of the amount recovered.
The False Claims Act is the single most important tool U.S. taxpayers have to recover the billions of dollars stolen by individuals who commit fraud against the U.S. government.
What is the False Claims Act?
The False Claims Act contains qui tam, or whistleblower, provisions. The qui tam provisions are unique legal mechanisms that permit citizens with evidence of fraud against government contracts and programs to sue on behalf of the government to recover the stolen funds.
A qui tam lawsuit is filed “under seal,” meaning that it is kept secret from everyone but the government to give the U.S. Department of Justice time to investigate the allegations.
For more information about how the False Claims Act and qui tam lawsuits work, please see our False Claims Act FAQ page.
Whistleblower Awards
Under the False Claims Act, the government may recover up to three times the amount of money it lost as a result of the defendant's fraud, as well as additional penalties.
A whistleblower, or a “relator” under the False Claims Act, is entitled to a reward of 15% to 30% of what the government recovers. Since 1986, False Claims Act qui tam relators were awarded more than $2 billion.
Common Types of Fraud
While not an exhaustive list, these are some of the most common types of activities and schemes prosecuted under the False Claims Act:
- Medicare & Medicaid Fraud
- Pharmaceutical Fraud
- Defense Contractor Fraud
- Federal Government Contractor Fraud
- Fraudulent Loans & Grants
Robbins Geller Rudman & Dowd LLP is committed to fighting for our whistleblower clients in their courageous efforts to combat fraud. We are dedicated to ensuring that our clients receive the compensation and protection they deserve. If you are aware of any securities, commodities, or tax law violations or fraud on the government and would like to consult with us on a confidential basis about a potential whistleblower case, please contact Jonah H. Goldstein or James E. Barz.