Will The Supreme Court Limit The Government’s Authority To Dismiss False Claims Act Suits Prosecuted By Whistleblowers?
July 26, 2022 | The Insider: White Collar Defense and Securities Enforcement
The False Claims Act (FCA) allows a private citizen whistleblower, known as a “relator,” to file a lawsuit against an individual or entity for defrauding the federal government. In a 2021 speech at the Federal Bar Association Qui Tam Conference, Acting Assistant Attorney General Brian M. Boynton emphasized that relators are “an essential source of new leads” and the Justice Department relies on whistleblowers to “help root out the misuse and abuse of taxpayer funds.” FCA litigation is extremely lucrative for both the government and FCA relators. In fiscal year 2021, the Justice Department recovered more than $5.6 billion in cases involving fraud and false claims against the government, nearly $1.6 billion of which arose from cases initiated by whistleblowers. Whistleblowers filed 598 qui tam suits in fiscal year 2021, and the government paid out $237 million to whistleblowers.