DHH creates work group for fraud

The Department of Health and Human Services announces the creation of a False Claims Act Working Group that enhances its partnership with the Department of Justice and the HHS Office of Inspector General to combat fraud and abuse by identifying and focusing resources on those who seek to defraud American taxpayers, according to the Department of Health and Human Services news release.
HHS regulates more than a third of the U.S. economy. In 2020, the department provided more than $1.5 trillion in grants and other payments to public and private recipients, including for healthcare items and services, the news release states.
In addition, HHS is one of the largest government contractors, paying more than $170 billion in 2020 to thousands of contractors. In combating COVID-19, HHS has administered unprecedented levels of taxpayer support for private individuals and organizations.
“Fraud on the federal government is not a victimless crime,” said HHS Secretary Alex Azar. “Every dollar that goes to fraudsters is a dollar not being used for the important work that HHS programs do for the American people, including to fight COVID-19.
“This working group strengthens our partnership with DOJ and OIG on using the False Claims Act to pursue bad actors and protect taxpayer funds. Ensuring that resources are focused on bad actors will deter would-be fraudsters and avoid burdening those working in good faith to comply with the law.”
Originally enacted in response to defense contractor fraud during the American Civil War, the False Claims Act is now one of the government’s most potent tools to pursue those who defraud government payment programs.
Under the False Claims Act, those who knowingly submit false claims to the government may be liable for treble damages plus penalties, which may range from approximately $11,000 to $23,000 per false claim. The United States may pursue such actions on its own, or a private citizen may file a False Claims Act suit on behalf of the government and receive a portion of the recovery.
As the agency administering various programs involving the payment of significant amounts of money to private parties, HHS is in a unique position to work with the Department of Justice to identify and assess potentially fraudulent activities.
The HHS Office of the General Counsel created the False Claims Act Working Group to strengthen the working relationship with the justice department. The group is comprised of former DOJ False Claims Act and healthcare fraud prosecutors, former private counsel for healthcare and life sciences companies, and HHS attorneys with extensive experience with HHS’ most vulnerable payment programs.