The following statutes are the focus of
virtually all successful Whistleblower/Qui Tam
actions:
The Federal False Claims Act
On behalf of its clients, Berger & Montague's
Whistleblower, Qui Tam & False Claims Act Group utilizes the
federal False Claims Act to seek legal redress against
companies who have defrauded the federal government through any
number of fraudulent schemes. Successful whistleblower
actions under the False Claims Act generally entitle the
whistleblower to a reward ranging between 15% and 30% of
the Government's overall recovery. Specifically, if the
government intervenes in the case (that is, decides to file its own
case based on the information provided by the whistleblower), the
reward is generally between 15% and 25% of the Government's
recovery. If the Government declines to intervene in the case
and the whistleblower
and his or her lawyers decide to pursue the case without
Government support, the reward is generally between 25%
and 30% of the Government's recovery.
State False Claims Acts
Twenty-seven states and the District of Columbia have enacted
False Claims Acts. Although there are some differences
among these laws, they are generally modeled after the federal
False Claims Act, and they all have similar whistleblower reward
provisions. One distinguishing feature in the New York statute
provides that a whistleblower can pursue a Qui Tam action against a
company for New York State tax fraud. This is an extremely
helpful difference and can be utilized to recover substantial
amounts of money damages.
The IRS Tax Fraud Program
Pursuant to the IRS Tax Fraud Program, a whistleblower who
reports tax fraud committed against the federal government can
receive between 15% and 30% of the amount recovered,
which includes the aggregate of tax due, interest and
penalties. There are two IRS Whistleblower Office limitations
to receiving whistleblower rewards. First, if the wrongdoer is a
company, the amount recovered must be more than $2 million for the
whistleblower to be entitled to a reward. Second, if the
wrongdoer is an individual, the person's annual income must be more
than $200,000.
The SEC/CFTC Whistleblower Programs
Pursuant to the Securities and Exchange Commission and
Commodity Futures Trading Commission Programs, a whistleblower who
reports a violation of the securities and/or commodities trading
laws, such as insider trading, improper management of
collateralized debt obligations, money laundering, and violations
of the Foreign Corrupt Practices Act, can receive between 10%
and 30% of the penalty amount paid by the wrongdoer to the
government. The penalty amount must be more than $1 million
for the whistleblower to be entitled to a reward.
No Fees Without Recovery
Berger & Montague's Whistleblower, Qui Tam & False
Claims Act Group litigates cases on a contingent fee
basis, so whistleblowers do not pay attorneys' fees or court
costs unless there is a recovery.
Contact Us To Learn More
We invite you to learn more about our Whistleblowers,
Qui Tam & False Claims Act Practice Group. For more
information or to schedule a confidential discussion about a
potential case, please fill out the Quick Contact on the right. You
can also call us at (215) 875-5712.