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Class Action Lawsuits

Whistleblower (Qui Tam) Actions

“The False Claims Act was originally passed in response to rampant fraud perpetrated against the United States military during the Civil War. Back then, crooked contractors defrauded the Union Army by selling it sick mules, lame horses, sawdust instead of gunpowder, and rotted ships with fresh paint. Unfortunately, what we see today is just a modern version of the same thing — deceptive and fraudulent practices directed at the U.S. government and the American taxpayer. The Department of Justice has placed a high priority on rooting out and pursuing those who cheat government programs for their own gain. The recoveries announced today are a message that fraud and dishonesty will not be tolerated.”

– Assistant Attorney General Jody Hunt.

Qui tam lawsuits are a type of “whistleblower” claim brought under the False Claims Act, a federal law that rewards individuals when the government recovers funds lost to fraud. If you have evidence of fraud against the federal government, please contact our firm for a confidential, no-cost case evaluation and consultation. Our firm can assist you in all steps of this process. Having an experienced attorney will help ensure the whistleblower will receive an appropriate reward.

Qui tam litigation is a powerful tool for whistleblowers to help the government stop fraud against the American people. Detecting fraud against the government is an extremely difficult task without the cooperation of an insider close to the fraudulent activity. Without insiders, it may impossible to prove that fraud is being committed. For this reason, employee whistleblowers are critical in the fight against fraud.

Common fraud perpetrated against the government include:

  • Medicare, Medicaid, and Tricare Fraud: these Qui Tam actions are generally brought by providers who have evidence of fraud against suppliers and other providers who the provider/relator has knowledge of the fraud. Typical allegations are that the provider fraudulently billed or overbilled Medicare, Medicaid or Tricare for certain services.
  • Defense Contractor Fraud: false claim Qui Tam actions against defense contractors include claims against contractors that the defense contractor provided false information regarding product specifications and claims against defense contractors that have overcharged the federal government for the cost of supplies or services.
  • Financial Fraud: after the 2009 financial crisis, the federal government has placed more of an emphasis on finding and punishing financial fraud, including the misuse of federal funds, violations of the United States Securities and Exchange Commission (SEC) regulations , or violations of the Commodity Futures Trading Commission (CFTC) regulations.
  • Education Fraud: educational institutions have been liable under the Qui Tam False Claims Act for violating the Higher Education Act of 1965 or for making false promises that students are eligible to receive government funds.

Fraud perpetuated against the federal government can endanger the lives of patients, U.S. soldiers, and other American citizens and can cost taxpayers a fortune. The False Claims Act rewards whistleblowers whose qui tam lawsuits recover government funds and provides job protection to whistleblowers due to the risks they take to expose and stop the fraud against the government.

Under the False Claims Act, a private citizen may sue an individual or a business that is defrauding the government and recover funds on the government’s behalf. Importantly, the qui tam lawsuit is filed “under seal,” meaning that the only person who views the complaint is the Justice Department—not the wrongdoer.

The government investigates the allegations with the whistleblower’s attorney, and decides whether it wants to intervene in the case, which occurs in only a small percentage of qui tam lawsuits. Most successful qui tam cases are resolved through settlement negotiations rather than an actual trial. Defendants found liable under the False Claims Act may have to pay as much as three times the government’s losses plus penalties for each false claim.

We will work with whistleblowers to help recover money stolen from U.S. taxpayers and, in return, obtain a financial reward for the whistleblower’s efforts. Our attorneys will be happy to review your case, discuss the process for filing a whistleblower suit, and help determine the likelihood of a successful recovery under the qui tam provision of the False Claims Act. Please contact us today.