Many people erroneously believe that only those actively involved in fraud against the U.S. government can be prosecuted under the False Claims Act. In fact, you can be implicated in a fraud case if you participate, even passively, in any element of the fraud. I will explore this issue in greater detail below, but want to highlight the fact that this creates opportunities for those of you here in Mississippi that are interested in becoming a whistleblower. You do not have to work for the company that is actively committing fraud against the federal government to become a whistleblower; instead, you can work for a secondary contractor that provides some service to the primary company that is engaging in fraud. For example, if you are an accountant that audits a construction company that is providing sub-standard services on a government contract, you can claim whistleblower status and report the construction company’s actions. Inversely, you can be implicated in the fraud if you work to cover it up.
Are you considering becoming a whistleblower? If you are aware of fraud occurring in relation to a government contract, you should do the right thing and report it. You will need the help of an experienced whistleblower attorney to guide you through the process and to attain your fair share of compensation. Contact Barrett Law now at (800) 707-9577 to attain the advice you need.
Third Party Liability Under the False Claims Act
In several recent cases, the U.S. Department of Justice has shown that it is interested in prosecuting those that help companies that are doing business with the federal government engage in fraud. The fraud can be supplying sub-standard products, price inflation, kickbacks, or any other act where the federal government does not get what it pays for. The Department of Justice will not only prosecute the companies committing fraud, but also tech companies that handle the IT underlying the transaction, accountants and attorneys that give advice regarding the fraudulent activity, and financial institutions that underwrite the activities.
In United States ex rel. Goodman v. Arriva Medical LLC, the Department of Justice is prosecuting
Arriva Medical, a diabetes testing company for paying illegal kickbacks to those that referred business to them. It is interesting to note, however, that the third party consultant who provided advice to Arriva regarding testing reimbursement is also being prosecuted. Similarly, the Department of Justice is prosecuting several private equity firms for providing strategic guidance to other medical providers who were engaged in kickback schemes.
Most notably, Deloitte and Touche, one of the world’s leading accounting firms, recently paid a $150 million settlement to the Department of Justice related to the advice the firm provided to mortgage lenders in the leadup to the subprime mortgage crisis.
What Should You Do if You are Considering Making a Whistleblower Claim?
Many people believe that only those working for a company that is committing fraud can become a whistleblower concerning that fraud. But as the above post makes clear, if you are a third party observer of fraud against the U.S. government—an attorney, vendor, accountant, contractor, financial advisor, auditor—you can file a whistleblower case too. You will need to speak to an attorney with significant experience in this area of the law if you are interested in becoming a whistleblower. Contact Barrett Law now at (800) 707-9577.
Experienced whistleblower lawyer Barrett can provide you with the advice you will need to file a successful whistleblower case. Having expert legal advice by your side can mean the difference between receiving your share of a whistleblower reward and losing your career and livelihood. Call us today. Our Mississippi Whistleblower Lawyer looks forward to making a difference for you.
