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Shoud I be worried about the False Claims Act?

Posted by Mike Anderson on Fri, Nov 11, 2016 @ 01:23 PM

There were a couple of events this year that will impact Government Contractors in the future relative to the False Claims Act.  The False Claims Act (US Code, Title 31, Para 3729) is the regulation that imposes a liability on anyone who "knowingly presents, or causes to be presented, a false or fraudulent claim for payment or approval."  The law specifies "any person" that knows so this is open for some interpretation but includes both prime and subcontractors.  The liability can be stiff as it involves a financial penalty of $5,000 to $10,000 plus 3 times the damages suffered by the Government due to the false claim plus liability to cover the cost of civil actions by the government.  In addition, the government will most probably debar a contractor that is found to be in violation of the False Claims Act.  The two events this summer of interest were:

  1)  The Supreme Court issued a decision in the case Read the Full Blog Here

Topics: Government Contract, Government contract consultants, False Claims Act