Louisiana House Bill HB97

Louisiana 2018 Regular Session

• Introduced: 2/21/18
• Refer: 2/21/18
• Refer: 3/12/18
• Refer: 4/10/18
• Refer: 4/11/18

Caption

Authorizes a qui tam action for persons who disclose certain cases of fraud

Impact

The bill is expected to significantly strengthen the state’s legal framework regarding fraud, specifically in the context of public funds. By enabling both the attorney general and private citizens to engage in what are known as qui tam actions, the legislation incentivizes reporting of fraudulent activities by offering monetary rewards. The law not only enhances accountability but also facilitates the recovery of funds misappropriated from the state—a measure likely to resonate positively across various citizen groups concerned about waste and abuse of taxpayer money.

Summary

House Bill 97, also known as the State Government Integrity Act, is designed to combat fraud related to state funds and property. The bill prohibits individuals from knowingly presenting false or fraudulent claims to obtain state resources and establishes a framework for civil actions against such violations. The attorney general is granted the authority to initiate actions seeking recovery of funds obtained through fraudulent means, ensuring that the mechanisms for accountability and integrity are robust.

Sentiment

The sentiment surrounding HB 97 has largely been favorable, especially among legislative members advocating for greater transparency and accountability in government spending. Supporters argue that this act empowers citizens to take an active role in safeguarding public resources. However, some concerns have been raised regarding the potential for misuse of the qui tam provisions, wherein individuals may file unfounded claims for personal gain, leading to resource strains on the judicial system.

Contention

Key points of contention in the discussion of HB 97 revolve around the bill’s provisions for qui tam actions. Critics caution that while the intention is to protect the integrity of state funds, the risk of frivolous lawsuits could overwhelm state resources. Additionally, the criteria required for individuals to initiate these actions may provoke debate regarding the balance between encouraging reporting of fraud and the risk of unsubstantiated legal claims that could harm innocent parties.