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In 1861, Congress first passed the False Claims Act (FCA), making it a crime to procure or use federal funds fraudulently. Over the years, Congress has amended the Act numerous times, expanding both the class of defendants who can be sued and the class of plaintiffs who can file suit. Since 1986, the FCA has authorized “any person” aware of fraud committed against the government to file suit on behalf of the United States. Funds won in such suits are payable to the federal treasury, with costs of the suit, along with a small bounty, paid to the named plaintiff. Most recently, in 2005, Congress amended the FCA to make two changes. First, it made states proper defendants under the Act. Second,
Congress declared that any plaintiff, suing on behalf of the United States, “stands in the shoes” of the federal government, for purposes of determining standing.
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