As Kate Scanlan, a whistleblower attorney at Keller Grover, says: Where there is government funding, there is likely to be fraud.
Case in point: government procurement programs. The United States is the largest purchaser in the world, buying everything from pencils to aircraft carriers. Most contracts it enters into are carried out with diligence and honesty, but with so many billions of dollars involved every year, there are bound to be unscrupulous contractors who defraud the government — and taxpayers. The good news is that there is a remarkably effective weapon that helps identify and beat back procurement fraud: whistleblowers.
“Whistleblowers are our eyes and ears on fraud, alerting us to wrongdoing and helping to stamp it out,” Ms. Scanlan says. “Not surprisingly, the law has made important provisions to encourage and support them.”
The most effective law to fight fraud on the government is the False Claims Act.
“With its incentives and protections, the False Claims Act has been extraordinarily effective in spurring whistleblowers to sound the alarm on fraud,” Ms. Scanlan says. “The procedures can be complicated for the layman, but with knowledgeable legal counsel, whistleblowers can navigate the judicial waters with confidence — and with results. They can help expose these frauds and steer government funds back to the purposes and programs for which they were intended.”
What is the False Claims Act?
The False Claims Act was originally signed into law in 1863 to help combat fraud by suppliers to the United States government during the Civil War. The FCA allows whistleblowers, or Relators as they are known, to sue wrongdoers on behalf of the federal government.
What is a qui tam lawsuit?
Qui tam is Latin for “in the name of the king.” Any person with knowledge of fraud against the government can file a qui tam lawsuit under the False Claims Act to recover amounts taken improperly from the government. The government can intervene in the case, or allow the whistleblower to proceed without the government.
What are the rewards for whistleblowers?
The False Claims Act incentivizes whistleblowers to report a fraud on the government by rewarding them with a percentage of the amount the government successfully recovers as a result of the whistleblower’s False Claims Act case, up to 30 percent.
What are false claims?
False claims against the government are as varied as the government’s contracts, including:
- overcharging for a product or service
- delivering a defective or ineffective product
- paying the government less than it is entitled to under a contract
- charging the government for less than the promised amount of the product
- underpaying money owed to the government
- charging for one thing but delivering something different.
Are there state whistleblower laws
Yes, many states, including California, have followed the federal government in adopting whistleblower statutes to combat fraud on state and local governments.
Are whistleblowers protected under the law?
These laws all contain important protections for whistleblowers who expose a fraud on the government. If an employer retaliates against a worker who has taken measures to expose wrongs they witness on the job, that employee has rights under federal law, including the False Claims Act, and the laws of many states.
What should I do if I witness fraud?
You can contact Keller Grover for a confidential, free consultation. Our attorneys follow the latest developments in False Claims Act law and understand the implications of recent decisions in whistleblower cases.
We have over 25 years of experience litigating both fraud and employment matters and can advise potential whistleblowers about the best path forward from the very beginning, helping minimize the impact of reporting, protect rights and achieve the best possible outcome for the situation.