When companies and individuals submit false claims to government programs in order to obtain unjustified funds, it is illegal and considered a violation of the False Claims Act (FCA). The qui tam provision of the FCA allows private citizens to become whistleblowers and file a qui tam lawsuit on the government’s behalf against a person or business that defrauds the government or its programs. Whistleblowers, most often employees, are protected from employer retaliation for reporting fraud or illegal activity.
To encourage whistleblowers to come forward, the government also grants certain protections to those who file qui tam claims. If you have proof of fraud against the government, contact Tycko & Zavareei LLP’s qui tam lawyers in Houston today for a free legal case review.
What is a Qui Tam Lawsuit?
President Abraham Lincoln enacted the FCA in 1863 as a way to address the government contract fraud that was taking place during the civil war. Under the FCA, private citizens known as whistleblowers or qui tam relators are able to file a qui tam lawsuit on behalf of the US government when they have inside knowledge or proof of a business or individual defrauding the government or its programs. The FCA allows anyone with evidence of fraud to file a qui tam lawsuit. While employees or former employees most commonly become whistleblowers, anyone with proof of fraud against the government can become a whistleblower.
When a whistleblower lawsuit leads to the government successfully recovering defrauded funds, the person who blew the whistle could qualify for a financial reward of between 10 and 30 percent of the total amount of money recovered. In 2021 alone, the US Department of Justice reported $5.6 billion in settlements from cases filed under the FCA, with many whistleblowers being rewarded significant compensation for their efforts and bravery to come forward and report fraud.
Examples of Fraud that Houston Residents May Be Able to Report
Any time an individual or organization seeks to obtain unjustified funds from the federal government, it is considered fraud and a violation of the FCA. Fraud exists in any industry that uses government contracts. Common types of fraud seen in whistleblower lawsuits include:
- Healthcare fraud: in 2021, the DOJ reported $1.4 billion in losses related to healthcare fraud. This may include billing for service not rendered or not medically necessary, offering or accepting kickbacks, and promoting the off-label use of pharmaceuticals.
- Government contracts fraud: This refers to fraud committed by private companies hired by the US government to supply goods or services. Industries may include construction and infrastructure, defense contractors, consulting contractors, and cybersecurity and information technology companies
- Financial and banking fraud: Examples include mortgage fraud, government pension fraud, or PPP loan abuse.
Other types of fraud against the government include pharmaceutical fraud, student loan fraud, environmental fraud, grant fraud, and disaster relief fraud. If you have evidence of any kind of fraud against the government or any of its programs, contact the Houston qui tam lawyers of Tycko & Zavareei LLP today for help.
Why Should I File a Qui Tam Lawsuit?
Reporting fraud is not just the right thing to do, but it can also result in a considerable financial reward. When a Houston whistleblower brings a successful qui tam lawsuit, they are eligible to receive between 10 and 30 percent of the total amount recovered in exchange for their bravery and efforts.
Government-funded programs, including Medicare, Medicaid, Veteran’s Affairs benefits, and even student loans, were all created to help Americans. When money is stolen from these programs, it hurts the citizens who rely on them for assistance. Whistleblowers do a great service to their country by helping uncover fraud.
How are Houston Whistleblowers Protected?
Reporting your employer for fraud can be scary. In most cases, whistleblowers remain anonymous throughout the investigation and sometimes throughout the entire litigation process. When a whistleblower’s identity is revealed, the FCA protects them from all forms of potential retaliation at work, including suspension, termination, discrimination, demotion, harassment, or withholding pay or benefits.
If you have been retaliated against by your employer for your actions as a whistleblower, you could qualify to file a lawsuit seeking reinstatement, back pay, and attorneys’ fees. Contact the Houston qui tam lawyers of Tycko & Zavareei LLP today to set up a free confidential consultation.
What is the Texas False Claims Act?
In 1995, the State of Texas passed its own version of the federal FCA as well as the Texas Medical Fraud Prevention Act (TMFPA) in order to address fraud against the state’s Medicaid program. Like the federal FCA, these Texas whistleblower laws allow private citizens to bring lawsuits on behalf of the government and share in the financial recovery if the case is successful. Although these laws only cover crimes against Texas’s public healthcare programs, Houston qui tam lawsuits may be filed under both the state and the federal FCA.
Contact a Qui Tam Attorney in Houston for Assistance
Whistleblower cases can be complex, so it is advisable to consult with a whistleblower law firm that has ample experience litigating qui tam claims. The qui tam attorneys of Tycko & Zavareei LLP have decades of experience successfully representing whistleblowers and obtaining multi-million dollar settlements. Some of our lawyers formerly worked for the Department of Justice, making them uniquely qualified to help you file a qui tam lawsuit.
If you have evidence of fraud against the government, you could receive significant financial compensation if the lawsuit is successful. Contact our qui tam lawyers in Houston today for a free legal consultation.
