The Department of Justice (“DOJ”) recently released its 2025 statistics for federal False Claims Act cases. With settlements and judgments exceeding $6.8 billion last year, DOJ’s report shows that the False Claims Act (“FCA”) remains one of DOJ’s most potent and frequently-used investigation tools. The annual report also suggests that, after a year of change and turnover that touched virtually every corner and level at DOJ, the coming year will most certainly feature a historically high volume of FCA cases. Recipients of federal funds in the healthcare industry, federal contractors, and grant recipients should pay careful attention to every claim for payment or compliance certification submitted to any federal authority.
DOJ has continued to use the FCA to investigate fraud, waste, and abuse among federal contractors, grant recipients, and the health care industry along more non-partisan lines. FCA recoveries in the health care sector have always been the largest share of DOJ’s total. Last year was no exception, with DOJ recovering more than $5.7 billion in the health and human services category, or 83% of DOJ’s total annual recoveries under the FCA. Notably, this ratio is more consistent with historical trends and reverses the previous two years, which saw healthcare’s percentage of total FCA recoveries drop into the 60s. (This shift is likely the result of waning investigations related to COVID-pandemic fraud cases, such that health care-related cases will return to...
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