CCCP False Claims Act & Whistleblower Laws 3

Question 1

The Supreme Court's 2016 ruling in Universal Health Services v. Escobar confirmed which FCA doctrine?

Accepted Answer

Implied false certification can support FCA liability

Answer

Escobar upheld the implied false certification theory but emphasized that liability requires the misrepresentation to be material to the government's payment decision.

Question 2

Under the IRS whistleblower program, what minimum amount of disputed tax must be involved for a whistleblower to be eligible for a mandatory award?

Accepted Answer

$2 million

Answer

The IRS mandatory award program under IRC § 7623(b) applies when the disputed tax amount exceeds $2 million (or $200,000 for individual taxpayers).

Question 3

Which element distinguishes a Reverse False Claim from a standard False Claim under the FCA?

Accepted Answer

The defendant improperly retains money owed to the government rather than receiving an improper payment

Answer

A reverse false claim arises under 31 U.S.C. § 3729(a)(1)(G) when a person uses a false statement to avoid or reduce an obligation to pay money to the government.

Question 4

A pharmaceutical company pays a kickback to physicians who prescribe its drug covered by Medicaid. Under the FCA, why does this typically constitute a false claim?

Accepted Answer

Claims tainted by Anti-Kickback Statute violations are deemed false under the FCA

Answer

The ACA explicitly made AKS violations a per se false claim under the FCA, so any Medicaid or Medicare claim tainted by an illegal kickback is actionable.

Question 5

What is the maximum civil penalty per false claim under the current FCA (post-2023 inflation adjustment)?

Accepted Answer

Approximately $27,018

Answer

FCA civil penalties are adjusted annually for inflation; as of 2023-2024, the per-claim penalty range is approximately $13,909 to $27,018 per violation.

(CCCP) Certified Corporate Compliance Professional Practice Test

(CCCP) Certified Corporate Compliance Professional Practice Test

CCCP False Claims Act & Whistleblower Laws 3