According to Department of Justice (DOJ) statistics, 2013 saw a record number of relator-initiated (“qui tam”) False Claims Act lawsuits.
According to the numbers, 753 new qui tam actions were filed between October 1, 2012, and September 30, 2013, up from 652 in the year prior. During that same period, the Government recovered nearly $3 billion as a result of qui tam actions brought under the False Claims Act. That figure was down slightly from 2012, where the Government recovered over $3.3 billion.
The statistics also show that there was an all-time high in healthcare fraud filings under the False Claims Act in 2013 with 500 qui tam actions filed. In addition, over 87% of the $3 billion recovered by the Government in 2013 came from healthcare-related cases.
Defense-related fraud, which was the impetus for the creation of the False Claims Act during the Civil War and its amendments in 1986, resulted in 77 new filings in 2013. The Government recovered over $47 million from Defense-related cases in 2013.
In short, the data shows that the False Claims Act remains an effective tool to combat fraud by Government contractors. One would expect to see even more filings in 2014 and that the Government will continue to recover upwards of $3 billion.
The DOJ fraud statistics can be found at: http://www.justice.gov/civil/docs_forms/C-FRAUDS_FCA_Statistics.pdf.
If you have a False Claims Act case, please contact the Rabon Law Firm for a free consultation.