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A Video Explaining An SIU Profit Center  

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 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.  \\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.  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. Glaser v. Wound Care Consultants,  Inc., 570 F.3d 907, 912 (7th Cir. 2009). As an incentive to bring suit, a  prevailing relator may collect a substantial percentage of any funds  recovered for the benefit of the government.  To establish civil  liability under the False Claims Act, a relator generally must prove (1)  that the defendant made a statement in order to receive money from the  government; (2) that the statement was false; and (3) that the defendant  knew the statement was false. E.g., United States Ex Rel. Gross v. Aids  Research Alliance\\u2013Chicago, 415 F.3d 601, 604 (7th Cir. 2005); USA and  the State of Wisconsin v ACACIA Mental Health Clinic, USCA, 2016 WL  4555648 (2016).  

\\xa9 2021 \\u2013 Barry Zalma  

Barry Zalma, Esq., CFE, now limits his practice to service as an  insurance consultant specializing in insurance coverage, insurance  claims handling, insurance bad faith and insurance fraud almost equally  for insurers and policyholders.