False Claims Act and Healthcare Fraud Reporting
The False Claims Act was passed by Congress in 1863 and allows people who are not affiliated with the government (Congressmen, the President etc.) to file actions against federal contractors claiming fraud against the government.
In our current economic forecast with fraud running rampant (the Madoff scandal, the collapse of the financial market etc.) the False Claims Act is still relevant. Even with the abundance of accounting fraud, the major focus of the False Claims Act is still healthcare fraud. According to an article in the American Medical News, “Healthcare cases made up the lion’s share of false claims settlements and judgments in the fiscal year, brining in $1.6 billion, or two-thirds of the total $2.4 billion recouped.
Healthcare fraud is a huge industry for the ethically challenged in our country. Keep reporting – it is a great deterrent.