[Congressional Record Volume 147, Number 14 (Thursday, February 1, 2001)]
[Senate]
[Pages S1008-S1009]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                            FALSE CLAIMS ACT

  Mr. GRASSLEY. Mr. President, today I want to speak about an important 
issue for the taxpayers of this

[[Page S1009]]

country. The government's strongest and most effective tool against 
fraud is called the False Claims Act. In recent years, the False Claims 
Act has been under attack from industries targeted by the government's 
anti-fraud efforts. Since 1986, when Congress passed amendments that I 
sponsored to toughen the law than $4 billion has been recovered through 
the False Claims Act. Hundreds of billions more in fraud have been 
saved through the deterrent effect that this law has upon those who 
would betray the public's interest.
  In addition to the recovery of money and the deterrent effect of this 
law, the False Claims Act is important for another, perhaps, more 
important reason. The fact is that the False Claims Act is being used, 
day after day, by prosecutors to maintain the integrity of countless 
federal programs funded by American taxpayers. For example, the False 
Claims Act is being used in the health care industry to ensure that 
nursing home residents receive quality care.
  Included in the anti-fraud arsenal of the False Claims Act is a 
provision called qui tam. Qui tam is a concept that dates back to 
feudal times. It allows private citizens who know of fraud against the 
taxpayers to bring a lawsuit against the perpetrators. In other words, 
the citizen acts as a partner with the government. As an incentive, the 
citizen shares in any monetary recovery to the U.S. Treasury. Over the 
decades, the False Claims Act, and especially the qui tam provisions, 
proved to be effective, both in catching and deterring fraud.
  In considering the nomination of my former colleague, Senator John 
Ashcroft, for the position of Attorney General of the United States, I 
asked about his support for False Claims Act and the qui tam 
provisions. Senator Ashcroft's January 31, 2001 letter assures me that 
he will not support efforts to weaken the Act, and will support efforts 
to strengthen it. This pledge of support will ensure that the 
Department of Justice plays the critical and necessary role of 
targeting government waste and abuse. Senator Ashcroft assures that he 
will support ``vigorous enforcement of the law'' and ``will defend the 
constitutionality of the Act.'' I appreciate Senator Ashcroft's support 
for the False Claims Act. He is a man who is dedicated to enforcing the 
laws of this country and understands the importance of the False Claims 
Act.
  All in all the history of the assault on the False Claims Act sends 
us on a long and winding road. The False Claims Act is, and will 
remain, a target of those industries and accept billions and billions 
of taxpayer dollars annually and balk at strict accountability. I ask 
only that we, as legislators, remember the historical and current 
assaults made upon the False Claims Act. I ask further that we agree to 
be strong despite the strength of an industry, simply because it is the 
`right'' thing to do. Taxpayers deserve no less--and as legislators, we 
should deliver no less.
  I ask unanimous consent that the January 31, 2001 letter I received 
from Senator Ashcroft be considered as read and printed in the Record.
  There being no objection, the material was ordered to be printed in 
the Record, as follows:

                                                 January 31, 2001.
     Hon. Charles Grassley,
     U.S. Senate,
     Washington, DC.
       Dear Senator Grassley: Thank you for your letter of January 
     30, 2001, concerning the qui tam provisions of the False 
     Claims Act. I believe that the False Claims Act and the qui 
     tam provision in particular are vital tools in combating 
     government fraud and abuse. I fully support vigorous 
     enforcement of the law.
       Tackling government fraud and abuse through the False 
     Claims Act will be an important priority for the Justice 
     Department. Indeed, I expect that the sustained efforts of 
     the Justice Department will in some respects lessen the need 
     for (but not the importance of) private attorneys general 
     acting pursuant to the qui tam provisions of the Act. I can 
     also assure you that I will defend the constitutionality of 
     the Act, like all Acts of Congress, if it is challenged in 
     the courts.
       Finally, I assure you that I will not support efforts to 
     weaken the Act, and indeed, will support efforts to 
     strengthen the Act and ensure that the Justice Department 
     plays a critical role in targeting government waste and 
     abuse.
       I look forward to working with you on these issues.
           Sincerely,
     John Ashcroft.

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