Qui Tam

Louisiana introduces False Claims Act and qui tam bill in Extraordinary Session

By Brian F. LaBovick

This week the Louisiana Legislature along with Governor Bobby Jindal, launched an "Extraordinary Session". In a bi-partisan effort, the legislators joined together to introduce  and strengthen key legislation that combats government fraud in their state. The Senate, led by Senator Kostela, introduced SB 41 , a Louisiana False Claims Act, which is aimed at authorizing qui tam incentives and standing to citizens to pursue certain fraud claims. The House, led by Rep. Jim Tucker,  introduced, HB 69, which is aimed at, Authorizing a qui tam action for persons who disclose certain cases of fraud.

The Louisiana Legislator's "Extraordinary Session" started February 10, 2008 and is expected to end by  March 1, 2008.  The Session has Seven key priorities, one of which is to combat fraud and abuse. The goals included are: NO. 1 - Financial Disclosure, NO. 2 - Conflicts of Interest, NO. 3 - Transparency for Lobbyists, ITEM NO. 4 - Improving Ethics Education and Enforcement, ITEM NO. 5 - Transparency and Public Access to Information, ITEM NO. 6 - Further Combating Fraud and Abuse, and ITEM NO. 7 - Improve Campaign Finance Laws

Item NO. 6 language includes the following:

To legislate relative to other public officers and private citizens participating in the prevention of fraud and abuse by:
(1) enabling the Office of Inspector General by statute;
(2) granting authority to local inspector generals and ethical governing bodies to issue and enforce subpoenas in state court and providing for confidentiality during investigations by such;
(3) expanding whistleblower protection to prohibit threats of reprisal to public servants; and
(4) authorizing qui tam incentives and standing to citizens to pursue public fraud cases when the state refuses to act.

SB 41 gives the following introduction into the purpose of the Bill:

The legislature intends the attorney general and private citizens of Louisiana to be agents of this state with the ability, authority, and resources to pursue civil monetary penalties or other remedies to protect the fiscal and programmatic integrity of the state from persons who engage in fraud,  misrepresentation, abuse, or other ill practices, as set forth in this Chapter, and to obtain funds, property, or other compensation to which these persons are not entitled.

HB 69 gives the following introduction into the purpose of the Bill:

This part may be cited as the "State Government Integrity Act". §1192. Legislative intent and purpose.  The legislature intends that the attorney general, the inspector general, and  private citizens of Louisiana shall be agents of this state with the ability, authority, and resources to pursue civil monetary penalties or other remedies to protect the fiscal and programmatic integrity of state government in Louisiana from persons who engage in fraud, misrepresentation, abuse, or other ill practices, as set forth in this Part, and who obtain funds, property, or other compensation to which these persons are not entitled.

Full post as published by Whistleblower Law Blog on February 13, 2008 (boomark / email).