A Mid-Year Review: Continuing To Score Last Year's Financial Fraud Top 10

Yesterday, we started a mid-year review of the issues we highlighted last December, focusing on the 8th, 9th, and 10th most important Financial Fraud Law issues of the year. Today, let’s look at Numbers 7, 6, and 5. 

In the seventh slot, we highlighted bribery (also known as a pay-off, a kickback, hush money, payola, and a sweetener) and the Foreign Corrupt Practices Act. We noted that U.S. Attorney General Lanny A. Breuer told the 22nd National Forum on the Foreign Corrupt Practices Act that 2009 “was probably the most dynamic single year in the more than 30 years since the FCPA was enacted.” The importance with which government prosecutors treated bribery last year has continued – even accelerated – this year. It’s still a huge deal (no pun intended).
 
The “$60 Billion Fraud” – health care fraud - was our sixth biggest Financial Fraud Law issue of the year. It plays an even more important role now, following passage of the health care reform act. Search for “health care fraud” in the search box on this page, and you’ll see what we mean.
 
Then, we chose the False Claims Act as the fifth most significant financial fraud law issue of the year. It’s a simple law, providng that a person or entity may be held liable for knowingly submitting, or causing another to submit, false claims for payment of federal funds. A 2009 amendment expanded the scope of FCA liability, provided for new investigative tools, and made it easier for whistleblowers to bring and maintain FCA suits on behalf of the government. That led, in part, to the U.S. government obtaining nearly $2 billion from lawsuits filed under the False Claims Act’s qui tam provisions in the last fiscal year – and, we suspect, an even larger number will show up this year. The significance of the FCA cannot be understated, still.