Whistleblower, False Claims Act & Qui Tam Information

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by The Law Offices of Jason S. Coomer, PLLC

Expose Defense Contractor Fraud: Large Financial Rewards Are Being Offered to Military Contractors Who Properly Expose Defense Contractor Fraud by Defense Contractor Fraud Whistleblower Reward Lawyer Jason S. Coomer

Large financial rewards are being offered to military contractors and others who have original knowledge of significant defense contractor fraud.  To collect these rewards, the defense contractor fraud whistleblower needs to properly expose the fraud.  For this reason it is often beneficial to contact a defense contractor fraud whistleblower reward lawyer to confidentially review a potential case.  The lawyer can not only confidentially review the case prior to making any public disclosure, but can also organize and prepare a disclosure statement that can help the case be successful.  For a confidential review of or more information on a potential Defense Contractor Fraud Whistleblower Reward Lawsuit, please feel free to contact Defense Contractor Fraud Lawyer Jason S. Coomer.

Corrupt Defense Contractors Are Bilking the United States Out of Billions of Dollars and Are Endangering Our Service Personnel

Unfortunately, some corrupt government contractors made or are making big profits by billing the United States for services they are not performing as well as defective products and services they have sold to the government.  Even worse, in some situations illegal price gouging and government fraud has become common practice and the armed forces of the United States are suffering.  As such, it is now time for whistleblowers and American heroes to blow the whistle on these corrupt government contractors that are defrauding the United States, stealing from the United States, and placing our troops in danger.

History of Qui Tam Lawsuits and Defense Contractor Fraud Lawsuits

Defense Contractor lawsuits have existed for centuries as deceptive government contractors have been around as long as government contracting has. Qui tam actions allow private citizens to file a lawsuit on behalf of the U.S. government in an effort to recover losses caused by fraud against the government. This law is an incentive for civilians with specialized knowledge who know of individuals or companies making false claims for profit to come forward with information. In reward, the "whistleblower" (also known as the relator) shares in any federal revenue recovered.

For more on the history of Defense Contractor Fraud Lawsuits and Qui Tam Lawsuits, go to the following article on Qui Tam Claims.

Qui Tam Lawsuits and Defense Contractor Fraud Lawsuits

In 1986 as a result of increased government contractor fraud, Congress amended the False Claims Act in order to make it easier for whistleblowers to file claims against fraudulent corporations and individuals.  The act also help protect the Whistleblower or Relator from retaliation.

The 1986 Amendment defines a "claim" as:

"...any request or demand which is made to a contractor, grantee, or other recipient if the United States Government provides any portion of the money or property which is requested or demanded, or if the government will reimburse such contractor, grantee, or other recipient for any portion of the money or property which is requested or demanded."

The whistleblower's share of recovery is a maximum of 30 percent and the government's prior knowledge of fraud now does not necessarily bar a whistleblower from collecting lost revenue. If the government took over the lawsuit, the relator can "continue as a party to the action." The defendant is also required to pay for the relator's attorney fees. The whistleblower is also protected from retaliatory actions by his or her employer. As a result or the amendment, qui tam lawsuits increased dramatically.   Though the amendment was first made fore corrupt defense contractors, the amendment has uncovered billions of dollars in health care fraud.

Anyone who defrauds the government out of revenue can be held accountable under the False Claims Act. Common defendants include defense contractors, health care providers, other government contractors & subcontractors, state and local government agencies,  and private universities. Whistleblowers often include current and former employees of the defrauding company, competitors of government contractors and public interest groups.

The False Claims Act was enacted to encourage private citizens to assist the government in the fight against fraud. Often the whistleblower faces an uphill battle as large, powerful corporations or individuals are usually named as defendants. An experienced attorney in qui tam claims may help you gain a percentage of stolen government funds.

Defense Contractor Fraud Claims in the News

The United States Department of Defense spending for goods and services in Fiscal Year 2007 exceeded $300 billion.  With this increased budget has come relaxed oversight and regulation.  Quality control and proper testing of these good and services has become lax as documentation for large defense contracts has been reduced allowing fraudulent contractors to get away with defrauding the Pentagon, Department of Defense, and United States.

Defense Contractor Fraud Whistleblower Lawyers and Military Contractor Fraud Whistleblower Lawyers Can Help Military Contractor Whistleblowers Blow the Whistle on Those that Commit Fraud Against the United States Government, Help Protect Military Contractor Whistleblowers, and Help Military Contractor Whistleblowers Obtain a Share of Funds Recovered Through Quit Tam Claims, False Claims Act, and Defense Contractor Fraud Lawsuits

There are several types of Qui Tam claims covered under the False Claims Act:

  • Mischarging or overcharging for goods or services.
  • Improper price data and the request for payment for services never provided.
  • Holding government property for fraudulent purposes.
  • Avoiding payment of a debt to the government because of illegal reasons.
  • Knowingly providing the government with defective or dangerous products that were falsely certified.
  • Falsely certifying information for the entitlement of benefits.
  • Having any false claim paid by the government.

The mischarging case is the most common type of qui tam case filed. Mischarging cases generally involve filing false claims for goods or services that were not provided or delivered. A common mischarging scenario is employee labor charged to a government contract not worked on. Other common mischarging schemes are claims made to the Government for medical services not rendered or for services performed by an attending physician when the service was actually performed by a nurse or other provider that should have been billed at a lower rate.

Another type of case is the false negotiation or defective pricing case that involves the submission of false cost and pricing data to the Government. This scheme, which takes on many forms, involves the submission of false costs or pricing data to the Government during the negotiation of a contract that subsequently results in an inflated contract price.

Other common types of cases involve product and service substitution and false certification of entitlement for benefits. Examples of product and service substitution are falsely certifying that a product meets specifications, false testing schemes such as falsely certifying that reliability testing was conducted and providing an inferior service or product. Examples of false certification of entitlement cases are falsely certifying information for FHA mortgage guarantees and price supports.

Potential heroes that blow the whistle on government fraud and corruption include employees, former employees, high-level executives, sub contractors, general contractors, and people working with major defense contractors, telecommunications companies, and large health care organizations.

Defense Contractor Fraud Whistleblower Lawyers and Military Contractor Fraud Whistleblower Lawyers Can Help Military Whistleblowers Blow the Whistle on Those that Commit Fraud Against the United States Government, Help Protect Military Whistleblowers, and Help Military Whistleblowers Obtain a Share of Funds Recovered

If you are aware of a defense contractor, highway contractor, large health care company, or other large contractor or subcontractor that is defrauding the United States Government out of millions or billions of dollars, it is important to blow the whistle on the fraud.  By reporting the fraud you can save the government and taxpayers large amounts of money. 

However, if you are not the first to file or do not blow the whistle correctly pursuant to the Federal False Claims Act, you may not be able to share in the recovery.  As such, to become a relator it is important to collect evidence of the fraud and contact a Federal False Claims Act Lawyer such as Jason Coomer and the attorneys that he works with to make sure that every effort is made to protect your rights as a relator so that you can share in the recover that is made from your efforts.  In working together, Whistle blowers and Qui Tam Lawyers throughout the nation can blow the whistle on fraud that hurts the United States and our armed forces.

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