What providers need to know bout the False Claims Act.

In the 1990s, the Federal government's antifraud efforts increasingly have focused on the healthcare industry, and the False Claims Act, a powerful law designed to curb fraud against the Federal Treasury, has been one of the government's most potent weapons. One reason for the act's potency is its qui tam provision, which encourages whistleblowers to expose fraud in return for a substantial percentage of money the government recovers. The False Claims Act has been used against healthcare providers in the following areas: billing for services or supplies not actually provided, billing for nonreimbursable services, using false diagnoses to justify claims, and cheating in government performance evaluations.