Under the False Claims Act, whistleblowers are able to file qui tam lawsuits. In many cases, they are given a percentage of the overall judgment. This often ranges between 15 and 30 percent, giving significant financial incentive to whistleblowers for bringing illegal activity to light.
This is notable because new claims from the U.S. Department of Justice say that judgments made under the False Claims Act for the fiscal year 2025 broke the threshold of $6.8 billion. This is the largest total ever recorded in a single year since the False Claims Act has existed.
In order to reach this total, whistleblowers started 1,297 separate lawsuits. This led to 401 investigations being opened by the government. The total number of lawsuits filed was also the highest in a single year, along with the total amount of money secured.
A weapon against fraud
Deputy Attorney General Todd Blanche made strong statements about the False Claims Act when these reports came out. He noted that it is one of the most powerful weapons wielded by the government to combat fraud and illegal activity. He also stated that the record-breaking year demonstrated that the FCA was very effective and that the government has made stopping this type of fraud a priority.
It is important for whistleblowers to understand their legal rights under the False Claims Act. This is true not just because they can receive a percentage of the judgment as compensation for becoming a whistleblower, but also because it puts them in a position to help combat fraud on many levels.
If you are considering becoming a whistleblower this year, especially if you have never done so before, it is very important to know exactly what legal steps to take and what protections you have.