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Government Contracting Fraud Lawyer

When corporations that have contracts with the federal government overbill or do not provide the product/service promised, they are defrauding the government. This can cost the government billions of dollars in lost revenue. Often, government contracting fraud goes undetected until someone within the corporation comes forward. Under the False Claims Act, those with information on government contracting fraud can file a lawsuit against the corporation for damages.

What Is the False Claims Act?

Defrauding the government is not a new concept and has been an ongoing issue throughout history. Since the inception of government contracts for goods and services, there have been instances of businesses exploiting loopholes or engaging in fraudulent practices. The False Claims Act, originating in 1863 during the Civil War, stands as a landmark effort to address such malpractices, particularly targeting defense contractors who took advantage of wartime needs. Initially aimed at combating overcharging and substandard product deliveries to the government, the Act served as a mechanism to expose and rectify such fraudulent activities, allowing for reimbursement of misappropriated funds. Over time, the Act has evolved, incorporating provisions to incentivize individuals to report government contracting fraud by offering them a share of the recovered funds as a reward. This incentive structure not only encourages whistleblowers to come forward but also acts as a deterrent to potential fraudulent behavior in government contracts across various sectors and industries. Despite these measures, the challenge of preventing and detecting government fraud persists, necessitating ongoing vigilance and enforcement efforts to uphold the integrity of public procurement processes.

Filing a Whistleblower Lawsuit

Under the False Claims Act, individuals who witness or possess information regarding fraudulent activities committed by government contractors are empowered to file a lawsuit against the offending company. Known as a whistleblower or Qui Tam lawsuit, this legal mechanism not only enables the disclosure of illicit practices but also safeguards the filer from retaliation by the defendant. The protection afforded to whistleblowers is crucial in fostering a climate of accountability and transparency within government contracts.

Beyond mere protection, whistleblowers play a pivotal role in facilitating the recovery of misappropriated funds. If the government substantiates the allegations of fraud based on the information provided by the plaintiff, the whistleblower stands to receive a percentage of the recovered funds, typically ranging between 15% to 30%. This incentivized reward structure has the potential to yield significant financial returns, often amounting to millions of dollars, thereby serving as a powerful motivator for individuals to come forward with credible evidence of fraudulent activities. It not only compensates whistleblowers for their integrity and courage but also serves as a deterrent against future instances of government contract fraud. In essence, the False Claims Act not only protects the public purse but also encourages civic engagement in safeguarding the integrity of government procurement processes.

Key points:

  • The False Claims Act empowers individuals to file lawsuits against government contractors for fraud.
  • Whistleblower lawsuits protect filers from retaliation.
  • Whistleblowers can receive 15-30% of recovered funds if fraud is proven.
  • The potential rewards for whistleblowers can be substantial, often amounting to millions of dollars.
  • Incentivized reward structures encourage individuals to come forward with evidence of fraudulent activities.
  • The False Claims Act promotes accountability and transparency in government contracts.

If you have information about a defense contractor, medical facility or other government contractor that has been defrauding the government, contact Ligori & Ligori Attorneys at Law today to schedule a consultation. We can listen to your claim and advise you on your options. You could be eligible to file a Qui Tam lawsuit and receive a large payout for your assistance in uncovering government fraud.

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