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Introduction

 
 

The False Claims Act was passed in 1863 during the height of the Civil War to curtail abuse of public funds by unscrupulous suppliers of material for the war effort. The Act allows the federal government to recover treble damages plus penalties of $5,500 to $11,000 per violation from any person or entity that knowingly submits false claims for payment to the federal government.

The Act also permits private citizens (called "relators") to file suit on behalf of the Government and in return for their efforts receive a share of the Government's recovery. These suits are called qui tams, which comes from the Latin phrase "qui tam pro domino rege quam pro se ipso in hac parte sequitur," which refers to those "who sue on behalf of the king as well as themselves."

 

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