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November 2013: Madia Law Files Federal Qui Tam Action

On behalf of the United States and multiple State governments, Madia Law has filed a federal qui tam action in federal District Court.  The filing alleges fraud against the government by multiple corporate Defendants.  Pending potential intervention by the United States, the suit remains under seal for at least 60 days.

In a qui tam action, a private party known as a relator brings a whistleblower suit on behalf of the government; thus, the government, not the relator, is considered the plaintiff.  If the action is successful in prosecuting the fraud, the relator receives an award, generally based on a portion of the amount recovered for the government.  The False Claims Act, Title 31 U.S.C. § 3279 et seq., authorizes qui tam actions and requires that parties wishing to bring such actions retain counsel.