The False Claims Act’s qui tam provisions empower individuals to file lawsuits on behalf of the federal government if they know that an individual or company is defrauding the government.
The most frequent types of fraud typically reporting include kickbacks, overbilling, providing defective goods, false statements on customs forms, or failure to pay monies owed to the U.S. government. However, fraudsters continue to find clever ways of defrauding the government, costing taxpayers billions of dollars each year.
Qui tam whistleblowers are eligible to receive between 15 and 30 percent of the government’s recovery, if a recovery occurs. There are no limits on awards. The quality of information provided to the government serves as the basis for determining award mounts – the better the information, the larger the sanction, thus the larger the reward.
Since 1986, approximately $7.3 billion has been paid in whistleblower rewards and rising each year as more and more whistleblowers come forward.
The False Claims Act allows whistleblowers to file a qui tam lawsuit under seal. This means the whistleblower’s identity is only known to the court and the U.S. government while the case is under seal. It is not unusual for qui tam cases to remain under seal for an extended period, even for several years. Whistleblowers who’ve witness fraud should contact an experienced whistleblower attorney to assist them in properly filing a qui tam lawsuit under seal.