Sec. 4. Welfare fraud recovery task force and civil actions for welfare fraud
1,154 words·~5 min read·
/bill/119/s/3652/is/section-4·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
In this section— the term Federal welfare program — means a program providing a Federal public benefit (as defined in section 401 of the Personal Responsibility and Work Opportunity Reconciliation Act of 1996 ( 8 U.S.C. 1611(c) )); and includes grants under the Child Care and Development Block Grant Act of 1990 ( 42 U.S.C. 9857 et seq. ) and the Child and Adult Care Food Program under section 17 of the Richard B. Russell National School Lunch Act ( 42 U.S.C. 1766 ); the term Fund means the Welfare Fraud Recovery Fund established under subsection (d)(1); the term noncitizen has the meaning given the term alien in section 101(a) of the Immigration and Nationality Act ( 8 U.S.C. 1101(a) ); and the term Task Force means the Fraud Recovery Task Force established under subsection (b).
The Attorney General, in consultation with the Secretary of Health and Human Services, shall establish within the Department of Justice a Welfare Fraud Recovery Task Force to investigate, prosecute, and recover funds lost to fraud in Federal welfare programs. The Task Force may bring a civil action in the name of the United States against any person who knowingly— submits or causes to be submitted a false or fraudulent claim for payment or approval under a Federal welfare program; uses or causes to be used a false record or statement material to a false or fraudulent claim for payment or approval under a Federal welfare program; conspires to commit a violation described in subparagraph
(A)or (B); or knowingly conceals or improperly avoids or decreases an obligation to pay or transmit money or property to the Government relating to such a claim. Subject to subparagraph (B), a person engaging in a violation described in paragraph
(1)is liable to the United States Government for— a civil penalty of not less than $10,000 and not more than $20,000, which shall be adjusted in accordance with the Federal Civil Penalties Inflation Adjustment Act of 1990 ( 28 U.S.C. 2461 note); 3 times the amount of damages sustained by the United States Government because of the violation by that person; and the costs of the civil action, including reasonable attorney fees. If the person engaging in conduct described in paragraph
(1)is a noncitizen, in addition to the amount imposed under subparagraph (A), the court shall impose a civil penalty equal to 2 times the amount of damages sustained by the United States Government because of the violation by that person, plus interest at the rate specified in section 3717 of title 31, United States Code. An action under this subsection may be brought not later than the later of— 15 years after the date on which the conduct described in paragraph
(1)is committed; or 3 years after the date when facts material to the cause of action are known or reasonably should have been known by the official of the United States charged with responsibility to act in the circumstances. In any action brought under this subsection, the United States shall be required to prove all essential elements of the cause of action, including damages, by a preponderance of the evidence. Any individual who provides information leading to a successful recovery under this subsection shall be entitled to— the protections under section 3730(h) of title 31, United States Code, that apply with respect to actions to stop a violation of chapter 37 of such title; and a reward of not less than 15 percent and not more than 30 percent of the amount recovered, as determined by the Task Force. There is established in the Treasury of the United States a fund, to be known as the Welfare Fraud Recovery Fund. Amounts recovered under this section— shall be deposited into the Fund; shall remain available until expended; and shall be available to the Secretary of Health and Human Services without further appropriation— to reimburse a Federal welfare program for losses due to fraud; and for the cost of investigations and prevention measures by the Task Force. The Task Force shall facilitate cooperation among States for the investigation, prosecution, and recovery of funds related to fraud in Federal welfare programs that involve activities crossing State lines, including the submission of false claims, the operation of fraudulent entities, or the transfer of funds across State boundaries. The Task Force may enter into memoranda of understanding with State attorneys general, State welfare agencies, and other relevant State entities to share information, including beneficiary records, audit findings, and financial transaction data, subject to applicable privacy protections under section 552a of title 5, United States Code (commonly known as the Privacy Act of 1974 ), and other Federal laws. The Task Force may coordinate joint investigations with States, including the issuance of joint subpoenas, search warrants, and asset freezes. A State participating in a joint investigation shall be entitled to a share of funds in connection with the joint investigation, not to exceed 20 percent of the total amount recovered, as determined by the Task Force based on the level of cooperation provided. A State receiving Federal funds under a Federal welfare program shall cooperate with a request for information or assistance from the Task Force. If a State fails to comply with a request for information or assistance from the Task Force, the head of each agency administering a Federal welfare program may withhold not more than 10 percent of the amounts that would otherwise be provided to the State under the Federal welfare program until the State complies with the request. The Task Force, in coordination with the Attorney General and the Secretary of State, shall pursue investigations and recoveries for fraud schemes involving international elements, including the transfer of funds to foreign jurisdictions, participation by foreign nationals, or the use of international financial networks. The Task Force may utilize mutual legal assistance treaties, extradition treaties, and other international agreements to request assistance from foreign governments and international organizations, such as the Financial Action Task Force and the International Criminal Police Organization (commonly known as INTERPOL ), including the freezing and seizure of assets, the extradition of individuals, and the sharing of financial records. In cases where fraudulent proceeds are transferred to foreign accounts or entities, the Task Force may initiate civil forfeiture proceedings under section 981 of title 18, United States Code, or seek repatriation of assets through diplomatic channels. Amounts recovered under this subparagraph shall be deposited into the Fund. The Task Force shall submit to Congress an annual report on investigations and recoveries described in subparagraph (A), including the number of requests made to foreign governments and the amounts recovered. The Secretary of State, in consultation with the Task Force, may incentivize cooperation by foreign governments through conditions on foreign assistance from the United States. There are authorized to be appropriated such sums as are necessary to carry out this subsection, including for personnel, technology, and international liaison activities.
Connectionstraces to 5
Citation graph
cites case law
Sec. 4
Welfare fraud recovery task force and civil actions for welfare fraud
Cites 5Cited by 0 across 0 sources