FCA Penalties Set To Double, Raising Fears Of Excess Fines

Law360, New York (May 3, 2016, 8:35 PM EDT) -- False Claims Act penalties would double under a federal regulation released this week, an increase likely to surprise some corporations and fuel arguments about constitutionally excessive punishment, attorneys say.

The regulation emerged Monday from an obscure agency called the Railroad Retirement Board, which occasionally generates FCA cases involving fraudulent benefit claims. In an interim final rule, the board became the first federal agency to adjust FCA penalties for inflation in accordance with a budget deal that Congress struck last year.

Under the rule, minimum per-claim penalties...
To view the full article, register now.

Law360 UK

UK Financial Services

Read Our Latest UK Legal News & Analysis

Financial Services Law360 UK and Insurance Law360 UK provide breaking news and in-depth analysis on U.K. and European Union regulation, enforcement, legislation, and litigation involving banks, investment firms, insurers, and more.