The proposed bill amends the Human Services Code of Pennsylvania by introducing ARTICLE XIV-E, titled "Liability for False Claims," which establishes a framework for holding individuals and entities accountable for submitting false claims to the Commonwealth. It aligns with the Federal False Claims Act and includes definitions of key terms, outlines acts that incur liability, and specifies penalties such as treble damages and civil penalties. The bill also allows the Attorney General to investigate and prosecute violations, and it introduces qui tam actions, enabling private individuals to file lawsuits on behalf of the Commonwealth against fraudsters. Additionally, it establishes the Fraud Prevention and Recovery Account to support enforcement efforts.

Further amendments focus on the procedures for civil investigative demands, including serving demands, producing documentary materials, and conducting oral examinations. The bill clarifies that disclosure of discovery materials does not waive rights to resist discovery of trial preparation materials and outlines the rights of individuals during examinations. It also mandates cooperation from Commonwealth agencies in investigations and specifies the Attorney General's authority to access and share information while maintaining confidentiality. The bill includes provisions for qui tam plaintiffs, such as financial awards based on their contributions, protections against employer retaliation, and a statute of limitations for civil actions. Overall, the legislation aims to enhance accountability and streamline the investigative process related to false claims.

Statutes/Laws affected:
Printer's No. 2081 (Jul 02, 2025): P.L.31, No.21