Department of Justice Recovers $3B in False Claims Act Lawsuits in FY 2010

The Department of Justice recovered $3 billion in cases involving fraud against the government in the fiscal year ending Sept. 30, 2010, according to a DOJ news release.

The total $3 billion in civil settlements and judgments includes $2.5 billion in healthcare fraud recoveries, which is the largest amount recovered in history and represents the second largest annual recovery of civil fraud claims. The $2.5 billion in healthcare fraud civil recoveries made up 83 percent of the year's total civil fraud recoveries.

Most of the cases resulting in recoveries were brought to the government by whistleblowers under the False Claims Act. Under the qui tam, or whistleblower, provisions of the False Claims Act, private citizens with knowledge of fraud are encouraged to come forward and bring actions on behalf of the United States and share in any recovery. In fiscal year 2010, whistleblowers were awarded $385 million.

Fiscal year 2010 also saw a $2.3 billion settlement with Pfizer. Settlements made with pharmaceutical companies actually accounted for $1.6 billion in settlements, including the Pfizer settlement, $302 million from AstraZeneca and $192.7 million from Novartis Pharmaceutical.

Read the DOJ news release about its FY 2010 recoveries from false claims cases.

Read other coverage about the False Claims Act:

- Advocacy Group: Pharmaceutical Companies Top List of DOJ Settlements

- Arizona Physician to Pay $395K to Settle False Claims Allegations

- Justice Department Can Join Whistleblower False Claims Suit Against St. Jude Medical

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