Senate Rejects Amendment to Cap False Claims Act Whistleblower Awards

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Posted on April 23, 2009 by Sam Dratch

Earlier today the Senate rejected an amendment to the Fraud Enforcement and Recovery Act (S.386), which would limit the amount a whistleblower can receive from recoveries under the False Claims Act.  Currently judges can award whistleblowers up to 30 percent of the total recovery for the government.  The amendment would have limited the whistleblower reward to $50 million.  Senate Judiciary Chairman Patrick Leahy opposed the amendment noting that the False Claims Act is “very well balanced the way it is, with a judge having to make a final decision on the award.” 

Now the Senate is voting on the remaining amendments to the anti-fraud legislation, which could pass as early as this afternoon.  We will keep you up to date on the latest developments.