Report Fraud against the Government (earn a reward)
There are four sweeping new government reward programs that invite citizens to report fraud against the government. The main federal program is administered by the Department of Justice (DOJ) in Washington, D.C. It has been so successful that it spawned similar reward statutes by many states and was recently adopted by the IRS in combating income tax evasion and tax fraud. In addition, a whistleblower who reports securities law violations is eligible for a reward for reporting fraud relating to violations of laws relating to the Securities and Exchange Commission (SEC) or Commodity Futures Trading Commission (CFTC).
(If you want Mr. Hesch to confidentially review your potential case, go to the link "Do I Have a Case" to read his case criteria and the procedures for contacting him.)
Snapshot of the Federal DOJ Reward Program
The DOJ whistleblower reward program is working remarkably well, having recovered over $20 billion and paying out nearly $3 billion in rewards to citizens. However, most Americans are still unaware of this gutsy program where a private person who steps forward with information is rewarded with up to 30% of what DOJ recovers back from the cheating company. The largest rewards for reporting fraud exceed $100 million, and the average reward is $1.5 million. That's right, the government is using the carrot of huge rewards to enlist private citizens to step forward and report companies cheating under federal contracts or programs, such as the military and Medicare.
The government is spending over a trillion dollars each year. DOJ is asking for your help in recovering back the tens-of-billions of dollars lost each year due to fraudulent claims. Congress has authorized DOJ to pay up to 30% of the amount of fraudulent payments recovered back. Please note, however, the DOJ reward program is complex and there are many pitfalls to avoid. In fact, DOJ rejects 75% of applications. By contrast, in 95% of cases in which DOJ accepts, a reward has been paid. One in twenty-five had received a reward of at least one million dollars. Therefore, the key is for you to understand how the program works and hire an experienced False Claims Act attorney to represent you. In fact, the program requires you to use an attorney and file formal legal documents as part of reporting fraud and applying for a reward.
Snapshot of the State Reward Programs
Many states have passed whistleblower reward statutes modeled after the Department of Justice reward statute. The growing list includes: California, Delaware, District of Columbia, Florida, Georgia, Hawaii, Illinois, Indiana, Louisiana, Massachusetts, Michigan, Montana, New Hampshire, New Jersey, New Mexico, New York, Nevada, Oklahoma, Rhode Island, Tennessee, Texas, and Virginia. More states are expected to join this constantly growing list, and information regarding state reward programs will be updated on this website.
The state reward programs work largely the same as the federal DOJ reward program, with one logical difference. These programs apply when there is fraud against the state, as opposed to the federal government. The same technical requirements for the federal program are applicable. In fact, courts often look to the federal reward program for guidance in deciding how to interpret the state laws. That is why it is so important to understand the federal program. These state programs also require you to hire counsel and submit formal legal documents.
Click here for examples of State Fraud cases where rewards are available.
Snapshot of SEC and CFTC Whistleblower Reward Programs
Confidentiality: Whistleblowers can report SEC fraud anonymously, if they have retained a lawyer to represent them.