7. What other evidence is helpful?
It is important to show that the under reporting was done knowingly (as opposed to, by mistake or technical error). Therefore, internal records or communications which show the company’s management was on notice it was under reporting production figures can be very helpful.
8. Do you have to be an employee of the company that is doing the under reporting to be eligible to file a whistleblower case under the False Claims Act and to collect an award?
No, while it is often the case that an employee has access to the kinds of information and records one needs to start a viable False Claims Act case for Government Royalty Fraud, there is no reason that a competitor, neighboring landowner or other person with knowledge of the misconduct cannot commence the lawsuit.
9. Is the whistleblower reward different in a reverse false claims case than a traditional one?
There is no difference. The range is still between 15% and 25% of the Government’s recovery for a case the Government joins and between 25% and 30% for a case that it declines.
10. How is the amount of the recovery determined?
First one determines the Government’s economic loss. Here, that would likely be the difference between what the company paid in royalties using false information and what it should have paid based on the true facts. The loss amount is trebled. Then, per false claims penalties of between $5,000 and $11,000 are calculated and added to the trebled loss amount to establish the company’s total liability exposure. If there is a settlement, the recovery amount will be negotiated between the Government and the company, possibly with some input from the whistleblower. If the case goes to trial, a jury and judge will determine the amount of loss and penalties.
