Law Offices of Paul D. Scott
 
 

Who Can Be a Qui Tam Whistleblower?

The False Claims Act permits most individuals who possess knowledge of fraud against the Government to file a qui tam action on its behalf, including wrongdoers (unless they are convicted of a crime involving the subject conduct). When the Act was first passed in 1863, Congress expressed no compunction about "setting a rogue to catch a rogue."

 

If the suit is based on information that has been publicly disclosed in a manner proscribed under the Act, however, it may be barred. In such cases, the whistleblower can generally only be assured of a share of the government's recovery if the relator was the "original source" of the information, as defined under the Act.

The relevant language from the statute reads as follows:

No court shall have jurisdiction over an action under this section based upon the public disclosure of allegations or transactions in a criminal, civil, or administrative hearing, in a congressional, administrative, or Government Accounting Office report, hearing, audit, or investigation, or from the news media, unless the action is brought by the Attorney General or the person bringing the action is an original source of the information.

The Act further provides that an “‘original source’ means an individual who has direct and independent knowledge of the information on which the allegations are based and has voluntarily provided the information to the Government before filing an action under this section which is based on the information."

Case law surrounding the public disclosure and original source provisions of the False Claims Act are complex and can vary based on the location of the potential case. When public disclosure is a potential issue, the facts of the particular case should be examined with counsel in conjunction with the law of the relevant venue/jurisdiction.