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False Claims Act

False Claims Act Lawsuits and recoveries for reporting fraud upon the government at the state and Federal level of government.

Both federal and state law provide compensation discover and report on the government. The federal statute has been in existence for many years in the state of New Jersey has only recently passed a False Claims Act, in 2008.

The underlying concept of the False Claims Act is to provide bounties to individuals that discover fraud on the government and report it to the government. Specifically, lawsuits are filed reporting the fraud to the government and the government has an option to take over the case. If the government does not take over the case it belongs to the individual litigant.

As an example the State pursued a False Claims Act case against Accutest an environmental testing firm and recovered over two million dollars. The person who brought this claim and filed this lawsuit would receive a percentage of the recovery as set forth below:

In April 2013, former employee Koroush Vaziri field a qui tam action in U.S. District Court in New Jersey alleging the failure of Accutest to follow proper protocols in both its extraction laboratory and its laboratory for the analysis of semi-volatile organic compounds.

This is what was alleged in the lawsuit filed by the whistle blower.

There are many other areas where there have been recoveries against businesses ripping of the government as the justice department sets recoveries into the billions:

Justice Department Recovers Over $3.5 Billion From False Claims Act Cases in Fiscal Year 2015. Recoveries Exceed $3.5 Billion for Fourth Consecutive Year.

If you are aware of any individuals or businesses committing fraud upon the government either in the state government or the federal government contact Jonathan Rudnick to determine what your rights and responsibilities in regard to this fraud. The federal and state False Claims Act provide bounties to those individuals reporting and acting upon those who are committing fraud upon the government.

Areas of fraud:

Medicare, Medicaid, Government contracts, health care.

The false claims act can potentially provide large recoveries to plaintiffs that are the equivalent of whistleblowers. There are numerous types of claims that are available to whistleblowers or those that file suit under the federal or state false claims act. The federal government provides incentives for that reporting government fraud. The state government provides incentives for those reporting government frauds. However, there is a very specific procedure establish and set forth by the Legislature to permit individuals to recover some of the money which is being repaid to the government. In New Jersey there is a limitation against state workers obtaining any benefits under the New Jersey false claims act. This means that if you are a state worker or a government worker you are not within the realm of responsible people who can file a false claims act complaint and collect any money. However, and obviously, a state worker would not be prohibited from filing a false claims act case in federal court under a federal claim that a business or entity or person was defrauding the government.

The law also requires that you actually have an attorney. This means that you cannot represent yourself in a false claims act case. These claims are very technical and can last years and the government has the 1st opportunity to intervene or litigate these cases. So if you file a case under seal the government reviews it and has the opportunity to take over the case and recover the money. This is potentially beneficial for the whistleblower in that you have the government attempting to reclaim their monies and you will receive a commission on the receipt of monies by the government.