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Billions recovered by government under the False Claims Act

In the 2018 fiscal year, the U.S. Department of Justice recovered billions of dollars on behalf of the federal government from cases involving the False Claims Act. This law holds both individuals and companies responsible for defrauding and taking money from the federal government. In addition to the government seeking to cover its losses from various types of fraudulent actions, a claimant filing under the False Claims Act, whether from New York or another state, may be able to seek a portion of what is recovered. 

This past year, almost $3 billion was recovered. Over the last few decades, the amount that the government has been able to recover because of the False Claims Act amounts to approximately $59 billion. Many of the cases from this past year involved the health care industry. This includes drug manufacturers, makers of medical devices, various types of care providers, hospitals and even individual physicians.

This year, one major company paid the federal government to resolve claims that it bypassed certain safeguards to ensure the safety of medications, thereby gaining profit from repackaging cancer drugs. Another example is a medical device manufacturer selling faulty test devices to doctors. This affected the accurate diagnosis of certain types of health conditions, including overdoses.

Litigation involving the False Claims Act can be complex and quite lengthy. New York readers filing claims under this law or considering this course of action will find it helpful to seek an understanding of their rights and available options through a complete evaluation of an individual case. An attorney with experience in this type of complicated litigation can be a beneficial ally throughout the entire process. 

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