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Jan 23, 2014 by |

3.8 Billion in False Claims Act Recoveries for Justice Department in 2013

ATTORNEY NEWSLETTER

For the fiscal year 2013, the United States Justice Department procured 3.8 billion in settlements and judgments combined for False Claims Act cases.  Civil cases are counted in that tally, not criminal cases.  An assistant to the Attorney General in the Civil Division stated that this is the second largest yearly recovery of its kind in history.  This brings the total recoveries under the False Claims Act since 2009 to approximately $17 billion dollars.  California whistleblower and Securities Fraud attorneys remind the public that taxpayers pay for false claims.

The United States Department of Justice has recovered more than $3 billion dollars for the fourth year in a row.  Only the 2012 recovery of more than $5 billion was more than the 2013 total recovery amount.  The most substantial recoveries related to health care fraud.  Health care fraud recoveries totaled $2.6 billion in 2013.  Another problem area, procurement fraud, totaled $890 million dollars.  That is a record for procurement fraud and it related mostly to defense contracts.  California whistleblower and securities fraud attorneys think that citizens can help the government to regain funds that were lost as false claims.

The 3.8 billion dollars recovered under the False Claims Act helps restore valuable taxpayer dollars to government coffers.  There was also another $443 million recovered for state sponsored Medicaid programs.  Those funds, of course, are restored to state governments.  The recent success of the United States Justice Department and other agencies serves as a deterrent to those who would commit fraud against the government.  What this means is that the programs that these funds deplete are able to work more effectively to help the people that they are intended to assist.  California whistleblower and securities attorneys say that programs that help the public need full funding in order to function effectively.

The False Claims Act is the governments’ main weapon in the war against fiscal fraud.  Government contract, defense contracts, Medicare, veterans benefits, mortgages, grants, school lunches and disaster assistance are all programs that are affected by false claims every year.  The False Claims Act was strengthened by congress in 1986 when it was amended to increase incentives for whistleblowers.  This has led to a greater number of investigations and recoveries.  A majority of the false claims actions are filed under the whistleblower or qui tam sections.  This allows private citizens to file lawsuits alleging false claims on behalf of the government.  In the cases where the government prevails, the whistleblower can receive up to thirty percent of the total amount recovered.

Evans Law Firm, Inc. handles whistleblower/false claims, consumer fraud class actions, insurance and banking fraud, consumer product liability, elder abuse, and personal injury cases.  If you think that you have witnessed or are the victim of financial fraud by an insurance company, bank or individual then, contact Evans Law Firm, Inc. at (415) 441-8669 for a free and confidential consultation, or email info@evanslaw.com.

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