What types of fraud are covered by the False Claims Act?
The False Claims Act prohibits the making or presentation of a “false or fraudulent claim” for money to the United States Government. Therefore, in general, the False Claims Act potentially covers all types of false or fraudulent statements made by a company or individual for the purposes of obtaining money from the government. The False Claims Act also has a provision that covers “reverse false claims.” This provision prohibits the making of false statements for the purpose of avoiding an obligation to pay money to the government. The False Claims Act has a number of specific exceptions, the most important of which is an exception for tax fraud. However, a separate law covers tax fraud, and also provides for monetary rewards to any tax fraud whistleblower who reports large tax fraud schemes. To learn more about the law covering tax fraud whistleblower cases, click here.