What are the areas in which false claims typically occur?
False claims can occur or be caused to be filed in any area in which a contract with the United States exists. Typical areas which have resulted in successful recoveries in qui tam suits for the United States include: DEFENSE PROCUREMENT CASES. The original False Claims Act in 1863 was passed because of rampant cheating by Union Army war suppliers. Defense cases today typically involve product substitution (where the United States enters into a contract for the production of a specific product but instead receives a different product), overcharging or mis-charging (where the contractor submits billing containing false charges), improperly inspected goods (many contracts require specific inspections to occur which a contractor may skip or falsify), or a failure to test a product when so called for by the contract. HEALTH CARE FRAUD. Recoveries in qui tam cases brought against those who have cheated the Medicare Trust Fund now comprise the largest dollar recoveries and the largest number
