TARP Protection Plans

Before passing the Emergency Economic Stabilization Act of 2008, the government set up a series of protective measures and oversights in existing agencies. In doing so, the process of bailing out the failing financial sector was supposed to occur with as few instances of fraud as possible. Unfortunately, despite these measures, TARP fraud is still a serious concern.

Contact the qui tam attorneys of Tycko & Zavareei, LLP, by calling 202-973-0900 if you have information regarding TARP fraud.

Measures to Protect TARP Funds

The United States Department of the Treasury established several different systems to maintain some level of control over the TARP funds. Although many of these protections were primarily targeted at recovering these funds later, some allowed for greater visibility of and control over the use of the funds by the recipients. These special measures include some of the following:

• The use of equity purchasing
• Limiting payment and compensation for executive positions
• Making the spending of the money as transparent as possible
• Increasing overall company transparency for those accepting TARP funds

In addition to these protections, TARP money is supposed to eventually be repaid once the rescued companies recover. However, some TARP recipients may have abused the opportunity handed to them, defrauding the government for massive sums of money.

Contact Us

If you have information regarding an instance of fraud involving a company that accepted TARP money, there may be legal action under the False Claims Act available. To learn more about qui tam litigation and your options, contact the qui tam lawyers of Tycko & Zavareei, LLP, at 202-973-0900.