False Claims Act Cases Resulted in $2.7B in Fiscal Year 2023: DOJ *Centurion Insurance AFS*

The U.S. Department of Justice said a record 543 settlements and judgements under the False Claims Act resulted in about $2.7 billion in the fiscal year ending Sept. 30, 2023.

The amount of settlements and judgements was a 54% increase over the prior year, according to an announcement from the DOJ.

The total obtained in settlements and judgments in FY 2023 was higher than the $2.2 billion total for FY 2022 but lower than the total of $5.7 billion from FY 2021.

According to the U.S. Department of Justice, more than $1.8 of the 2023 total involved the healthcare industry, including hospitals, pharmacies, laboratories, doctors, and managed care providers. This year the department also focused on priorities such as fraud in pandemic relief, and violations of cybersecurity requirements in government contracts and grants.

“Protecting taxpayer dollars from fraud and abuse is of paramount importance to the Department of Justice – and these enforcement figures prove it,” said Acting Associate Attorney General Benjamin C. Mizer. “The False Claims Act (FCA) remains one of our most important tools for rooting out fraud, ensuring that public funds are spent properly, and safeguarding critical government programs.”

The False Claims Act imposes treble damages and penalties on those who knowingly and falsely claim money from the U.S. or knowingly fail to pay money owed to the U.S.

Of the $2.7 billion from FY 2023, more than $2.3 billion were derived from whistleblower, or qui tam, lawsuits. The DOJ said these actions make up a large percentage of FCA cases filed and have grown significantly since Congress in 1986 increased incentives whistleblowers. DOJ said 712 qui tams were filed over the last year — an average of 13 per week.

The government paid out $349 million to individual whistleblowers in FY 2023.

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