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A Better Partnership

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Jan 2006
01
January 01, 2006

Michigan Amends State's Mini-"Qui Tam" Statute to Expand Protection of Whistleblowers

On January 3, 2006, Governor Granholm signed into a law a mini-"qui tam" statute which would expand the ability of private individuals to file suit against any provider which has improperly received payments from Medicaid. The statute is similar to the existing federal qui tam statute which covers payments received from federally funded programs such as Medicare

The new statute would allow a court to award the qui tam relator attorney fees, cost and expenses, in addition to 15%-30% of the total recovered. The statute also prohibits employers from penalizing employees who initiate a case or otherwise report Medicaid fraud. Michigan Attorney General Cox indicated in a statement that between 3% and 10% of payments made under the state Medicaid program are fraudulent.

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