Saturday, February 03, 2018

Trump's DOJ To Take Sides Against Whistleblowers in False Claims Act Cases, Cheered On by Chamberpot Corporate Lobbyists

A "privileged and confidential" Justice Department memo empowers government lawyers to dismiss cases brought by whistleblowers against government contractors.   The False Claims Act was amended in 1986 to restore qui tam provisions deleted before World War II.  FCA whistleblower cases have  resulted in billions of dollars of recoveries for the government and private plaintiffs, or "relators," who step into the shoes of the government.

Naturally, the largest lobby for organized money -- including wicked evil government contractors and corporate corrupters, tortfeasors and fraudfeasors like Lockheed Martin -- is crowing about it.  

The Chamber of Commerce of the United States, a/k/a "Chamberpot" receives money from millions of euchred businesses, but lobbies against them and for Big Business, including U.S. and foreign multinational corporations. 

The Chamberpot has has opposed every legislative reform since the New Deal.  Now it's opposing efforts to allow whistleblowers to combat government contract fraud, such as the corruption of the Seventh Fleet by a Singapore-based Malaysian national  who plied Naval officers and their families with millions in bribes, meals and prostitutes.  Sick.

Here's what the Chamberpot's tortfeasor and fraudfeasor lobby -- the "U.S. Chamber of Commerce Institute (sic) for Legal (sic) Reform (sic)." says about it;

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Justice Dept. Memo: "Meritless" and "Parasitic" Whistleblower Lawsuits Should be Dismissed

A new U.S. Department of Justice memo advised attorneys to consider dismissing “meritless” or “parasitic” whistleblower lawsuits filed under the False Claims Act (FCA), Reuters reports.
The FCA allows whistleblowers to sue companies on behalf of the government to recover taxpayer money that was paid based on allegedly fraudulent claims. Whistleblowers are entitled to a portion of any settlement or verdict. In 2017, the Justice Department reported $3.7 billion in FCA settlements and judgements - $3.4 billion of which came from cases originated by whistleblowers, who took home nearly $393 million. 
The article notes that the U.S. Chamber Institute for Legal Reform has said the FCA has become a “lucrative money machine” for plaintiffs’ lawyers. The number of whistleblowers is over 600 per year.

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