By Stacy M. Brown
NNPA Senior National
Correspondent
The U.S. Department of Justice (DOJ) said it recovered more than $2.9 billion from False Claims Act (FCA) settlements and judgments in 2024. Among the highest in recent years, this figure was supported by a record 979 qui tam lawsuits filed by whistleblowers. These actions, where private citizens sue on behalf of the government, remain an essential element of federal enforcement, allowing individuals to help expose fraud and recover taxpayer funds.
This year’s results included 558 settlements and judgments, falling just short of the record 566 recoveries achieved in 2023. However, the DOJ said total recoveries exceeded the $2.4 billion reported a year earlier. Officials said the agency has maintained vigilance in attacking fraud schemes in all forms. They said since the FCA was strengthened in 1986, recoveries have surpassed $78 billion.
The latest report revealed that the healthcare sector contributed more than $1.67 billion to the total fraud costs.
Among the most notable cases was a $425 million settlement with Teva Pharmaceuticals USA Inc.
The settlement put to bed allegations of fraudulent marketing and pricing practices involving its multiple sclerosis drug, Copaxone. According to the DOJ, the Raytheon Company, which agreed to pay $428 million to address claims of falsifying cost and pricing data on defense contracts, was another major victory.
DOJ officials claimed that the increase in whistleblower activity demonstrates growing public awareness of the FCA’s provisions. Qui tam lawsuits empower individuals to report fraud and share in recoveries, receiving between 15% and 30% of the recovered funds. In 2024, such actions accounted for a significant portion of the total recoveries. By comparison, 2023 saw 713 qui tam actions.
Over the years, the DOJ’s enforcement actions have tackled fraud across a wide range of industries, from healthcare and defense contracting to disaster relief and cybersecurity. In fiscal year 2024, targeted efforts were concentrated on healthcare fraud, which included additional cases targeting opioid manufacturers and providers accused of exacerbating the nation’s opioid crisis.
One such case involved Endo Health Solutions, which agreed to a bankruptcy settlement valued at $475.6 million to address allegations of marketing practices tied to its opioid product, Opana ER. Other cases, such as a $7.5 million settlement with Rite Aid Corporation and its subsidiaries, further highlighted the DOJ’s focus on holding companies accountable for contributing to public health crises.
Outside of healthcare, other significant recoveries were realized in defense contracting. The Raytheon case, one of the most substantial recoveries this year, reinforced the DOJ’s scrutiny of government contractors accused of submitting false data or misrepresenting costs. Over the years, defense procurement fraud has remained a key area of FCA enforcement, officials said.
Year-over-year comparisons have demonstrated the DOJ’s consistency in addressing fraud through the FCA. While recoveries have varied depending on the scope and nature of cases pursued, the steady rise in whistleblower engagement and the substantial sums recovered have shown the effectiveness of the FCA’s provisions. For example, in 2021, FCA recoveries reached nearly $4 billion, including some of the most substantial whistleblower-led cases in recent history.
Principal Deputy Associate Attorney General Benjamin C. Mizer described the DOJ’s work under the FCA as essential to protecting taxpayer dollars. “The Department’s enforcement of the False Claims Act this past year demonstrates its continued commitment to pursuing those who seek to defraud the American taxpayers,” Mizer said.
Principal Deputy Assistant Attorney General Brian M. Boynton added, “The results announced today demonstrate that such conduct will not be tolerated and that those who knowingly misuse taxpayer funds will be held accountable.”
