Washington, D.C. July 25, 2014. Today the National Whistleblower Center released a new report that was authored by Kohn, Kohn and Colapinto partner Stephen M. Kohn . The report, entitled “Saving America’s ‘Most Important Tool to Uncover and Punish Fraud,’” rebuts arguments being raised by the Chamber of Commerce as part of its aggressive lobbying campaign to undercut and weaken the False Claims Act.
The FCA is widely acknowledged as America’s most effective anti-fraud law. It encourages whistleblowers to report fraud in government contracting, and results in the recovery of billions of dollars every year from fraudulent government contractors.
The Chamber is preparing to testify at an upcoming hearing before the House Judiciary Committee in order to pave the way for Congress to weaken the FCA.
“Why would anyone want to undermine the key law protecting taxpayer’s money? Why would anyone want to destroy a key anti-fraud law? The Chamber of Commerce is doing the bidding for corrupt contractors, some of which have engaged in bid-rigging, illegal marketing of unapproved drugs, and selling unsafe bullet proof vests to police. In a recent FCA case the Chamber filed papers in court to keep secret company files that fully documented widespread corruption in a major defense contract,” said Stephen M. Kohn.
“No member of Congress should support the Chamber’s misguided and misleading campaign to weaken America’s most important anti-fraud law. Currently, the House Judiciary Committee will not permit representatives from the National Whistleblower Center to testify. This should be corrected, and the NWC should be permitted to present it report to the full committee,” Kohn added.
The introduction to the NWC’s report states: “The National Whistleblower Center has carefully evaluated all of the Chamber’s proposals and determined that if these ‘reforms’ were implemented, the FCA be rendered toothless. All of the Chamber’s recommendations should be rejected. Instead Congress should heed the advice of respected experts and support the expansion of the FCA in order to use its tools to fully protect the American taxpayer.”
A copy of the NWC’s report is linked here
The NWC also issued an Action Alert.