Under the Federal False Claims Act, a law proposed by President Lincoln and made significantly more effective by President Reagan, ordinary citizens are entitled to sue companies which they believe are defrauding the federal government, and to then share in the proceeds. In fact, since 1986, almost $1.8 billion dollars has been returned to the U.S. Treasury in this way, and some 20% more, that is some $350 million, has been paid over to citizens, like yourself.

This "Whistleblower" law dates back to the Civil War, when the Union Army had great need for munitions and supplies, and fraudulent profiteering was rampant. Even at the famous Battle of Gettysburg, Union soldiers — desperate for supplies — opened up cases marked "munitions," only to discover sawdust. These practices and others like them prompted President Lincoln and the 1863 Congress to pass the original Federal False Claims Act, which invited ordinary citizens to help eliminate fraud and abuse against the federal government. (Actually, these suits started in 13th century England and are commonly called "Qui Tam" suits, shorthand for a longer Latin phrase meaning "Sharing with the King.")

As examples:

—In 1994, United Technologies Corp. agreed to pay the U.S. Government $150 million to settle a Federal False Claims suit. This "Qui Tam" action was brought by its Executive Vice President Douglas Keeth, who was aware of overbilling in defense research matters.

—In 1993, National Health Laboratories, a medicare-reimbursed blood-testing laboratory, agreed to pay the U.S. government $111 million for fraudulent billing practices. The case was brought by Jack Dowden, a regional sales manager for a competitor; his own company later agreed to its own $40 million settlement.

—In 1996, drugmaker Smith Kline Beechum agreed to a $325 million settlement of charges related to its pharmaceutical sales and billing.

—1997 marks a 20-state investigation of health care giant Columbia/HCA Healthcare, accused of: improperly inflating homecare costs; performing unnecessary blood tests; offering doctors improper financial deals to win patient referrals. These investigations were begun after twelve separate "Qui Tam" lawsuits were filed.