Legal Assistance for Whistleblowers
The federal False Claims Act (the “FCA”) permits whistleblowers to file a lawsuit on behalf of the government and then obtain a significant share of any monies recovered through settlement or judgment. The amounts at issue quickly add up. The FCA permits the government to recover three times the original amount of the fraud plus additional substantial civil penalties.
Originally enacted to deter and catch war profiteers selling defective material to the Union Army, the FCA has gone through many revisions and changes but remains the single best and most important law for the recovery of frauds against the United States. The FCA continues to provide an avenue for concerned individuals to hold fraudsters accountable and make an impact in their communities.
In fiscal year 2023, the federal government recovered more than $2.6 Billion using the False Claims Act which makes more than $75 Billion recovered since 1986 when Congress substantially strengthened the Act. Most recoveries still come from healthcare fraud (including Medicare and Medicaid fraud) though the number of pandemic-related cases filed is rising quickly. As in prior years, the vast majority of the monies actually recovered by the federal government came from lawsuits brought by whistleblowers. Many states have similar laws which can be applied simultaneously.
The (Mis)Perception of High Costs
Concern about the high cost of quality legal help can prevent individuals from seeking legal advice when they need it most. However, most whistleblower attorneys, including the Law Offices of Darth M. Newman, work on a contingency fee basis. This means that our fees are contingent upon winning your case; if we don’t win, you don’t pay. This approach allows access to legal services without upfront costs, making it feasible for anyone to pursue justice, regardless of their financial situation. In fact, it is crucial to talk to an experienced qui tam lawyer as soon as possible to ensure you are properly preserving evidence and avoiding procedural pitfalls.
Lifecycle of a Qui Tam Case
It takes a rare and brave person to become a whistleblower (called a “relator”). Often, relators observe fraud at work, try to raise or fix the issue internally, and are rebuffed or retaliated against. Being a whistleblower is hard. Qui tam cases routinely take years to resolve and the government declines more often than it intervenes. Potential whistleblowers should choose counsel who is willing to give clear-eyed pre-filing advice and has the experience to see the case to completion. We offer free pre-filing consultation and analysis and accept whistleblower cases on a contingency basis meaning the relator never has to pay attorney’s fees up front.
Step 1: Information Gathering
Once we accept a case, we help the relator package their allegations and proof into a qui tam complaint. Working with us, whistleblowers collect what documents and other evidence they can to build the strongest possible case. Sometimes it is not possible to obtain all of the documents – that’s ok. It can be very helpful to point government investigators towards documents you don’t have, but you know exist -- especially if you know where the defendants have them stored or hidden.
Step 2: Filing the Case
Qui tam cases get filed under seal, which means they are kept secret from the defendants and the general public. This secrecy gives the government time to investigate the alleged frauds using the FBI, agency inspector general offices, and other enforcement and investigative personnel. Qui tam filings are technically complex – nearly every courthouse has its own unique procedure that must be followed. Relators should select counsel familiar with these requirements and the procedural nuance of qui tam cases generally.
Step 3: Working with the Government
Along with the complaint, we must send the government a Disclosure Statement that provides all of the evidence the relator is aware of while persuasively presenting the facts and law. Normally within a few weeks or months, government attorneys and investigators will interview the relator and we will keep the government apprised of any additional facts that come to light as the government’s investigation proceeds. The government’s investigation can last years.
Step 4: Intervention Decision and Relator’s Share
At the conclusion of its investigation, the government will decide whether to intervene and take over the case or decline and give the relator the option to proceed on their own. When the government intervenes, it is reasonably likely to achieve a positive outcome either through settlement or judgment. The relator can receive 15-25% of the recovered funds in intervened cases. If the relator chooses to proceed in a declined case, they can receive 25-30% of any resulting recovery.
If you're ready to take a stand against fraud, contact the Law Offices of Darth M. Newman today for a free, confidential consultation.
