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Explaining How Citizens Can Act to Defeat Insurance Fraud  

https://zalma.com/blog

The False Claims Act, also known as the \\u201cLincoln Law,\\u201d dates back to the  Civil War. President Lincoln signed the act into law in 1863 because  war profiteers were selling the Union Army shoddy supplies at inflated  prices. The original law included qui tam [ \\u201cQui tam\\u201d is an abbreviation  of the Latin phrase \\u201cqui tam pro domino rege quam pro si ipso in hac  parte sequitur\\u201d meaning \\u201cWho sues on behalf of the King as well as for  himself.\\u201d  There are a number of pronunciations of the Latin  abbreviation qui tam.  The simplest is key tam (rhymes with \\u201cham.\\u201d)  Black\\u2019s Law Dictionary suggests kweye (rhymes with \\u201ceye\\u201d) tam.]  provisions that allowed a private person (plaintiff) to sue those who  defrauded the federal government. If the suit was successful the  plaintiff would receive 50% of any recovery from the defendant.  The qui tam provisions were weakened greatly as a result of  congressional amendments in 1943, and qui tam legislation became  virtually nonexistent. However, in 1986, Sen. Charles Grassley, R\\u2013Iowa,  and Rep. Howard Berman, D Calif., joined forces to amend the law and  strengthen the incentives for citizens to uncover and fight fraud as qui  tam relators. (Relators are the private plaintiffs under the False  Claims Act).  The 1986 False Claims Act amendments received widespread bi-partisan  support, and were signed into law by President Reagan. Since the  revitalization, the qui tam provisions have increasingly been used.  The False Claims Act makes it unlawful to knowingly (1) present or cause  to be presented to the United States a false or fraudulent claim for  payment or approval, 31 U.S.C. \\xa7 3729(a)(1) (2006); (2) make or use a  false record or statement material to a false or fraudulent claim, \\xa7  3729(a)(1)(B); or (3) use a false record or statement to conceal or  decrease an obligation to pay money to the United States, \\xa7 3729(a)(7)  (2006). Under the Act, private individuals ... , referred to as  \\u201crelators,\\u201d may file civil actions known as qui tam actions on behalf of  the United States to recover money that the government paid as a result  of conduct forbidden under the Act.  \\xa9 2021 \\u2013 Barry Zalma