The False Claims Act rewards individuals, or "whistleblowers," who
bring a legal action against a party who made false claims
to the federal government in order to obtain money from
the government or to reduce the amount of money they
owe to the government. A whistleblower case filed under
the False Claims Act is called a Qui Tam action. Qui
Tam is short for the Latin phrase "Qui Tam
pro domino rege quam pro si ipso in hac parte sequitur," which
means "Who sues on behalf of the King, as well as for
The whistleblower, formally known as the "relator," is
usually given between 15 and 30 percent of the amount
recovered by the government as an incentive to expose
fraud against the United States.
Examples of Fraud
These cases typically involve government procurement
fraud where defense contractors overcharge the government
for equipment or services or sell defective products
to the government that do not meet the requirements
of the contract.
A significant part of the cost of Medicare
and Medicaid is attributed to fraud. It occurs when
health care providers overcharge the government for
medical services provided to senior citizens or the
poor who are without insurance. Typical cases are where
a provider "upcodes" medical service from a low paying
procedure to one that pays at a higher rate, or where
a drug company fails to give the government the best
price at which it sells its medications.
The False Claims Act also permits suits for "reverse
false claims" where individuals make false statements
to avoid paying money to the government. Most Customs
fraud falls into this category. Importers commit this
fraud by giving false information to obtain a favorable
tariff classification, providing false invoices that
undervalue their goods, furnishing false certifications
to take advantage of trade preference programs, and
transhipping goods to avoid antidumping and countervailing
duties or quotas. Click
here to learn more about Customs Fraud and here
to Report Customs Fraud.
The special experience of the attorneys of The Cullen
Law Firm, PLLC in international trade, customs law, and
Federal court litigation makes the firm well suited to
prosecute False Claims Act action. To report fraud against
the government, complete our online form here or submit
the attached form to email@example.com.
If you would prefer to discuss this matter, you may leave
a message at 888-820-6585, ext. 601 and an attorney will
return your call.