Pennsylvania Thinks About Fighting Fraud with a State False Claims Act
Will Pennsylvania get a new - albeit somewhat half-hearted - False Claims Act? Two legislators are urging the State to adopt a Pennsylvania False Claims Act that would at least allow the state to recover for health care fraud against the state. As a whistleblower lawyer who handles False Claims Act suits, I would like to congratulate the bill's sponsors for taking a step that just plain makes sense. First, putting a stop to fraud is an obvious no-brainer. Bill sponsor State Rep. Brandon Neuman pointed out that the bill "would deter fraud and punish wrongdoers, and "raise significant revenues through recovered losses and other damages." Why would Pennsylvania -- or any other state -- not want to do that? Rep. Neuman also noted that if the state passed the statute, it would allow the state to get a 10% increase in the amount of money they receive for Medicaid recoveries. Representative Neuman was talking about 42 U.S.C. § 1396h. Under that Statute, a st...