Civil Division
The Civil Division defends the interests of the United States in cases where federal agencies are sued for alleged conduct by their officers or employees. These defensive matters include actions seeking monetary damages for personal injury, medical malpractice, employment discrimination, prison litigation, judicial review of agency decisions, such as Social Security disability cases, and actions for injunctive relief, which challenge a federal agency's compliance with federal law or the Constitution.
In addition to its defensive role, the Civil Division brings affirmative litigation on behalf of the United States. These cases seek monetary reimbursement, penalties, and damages pursuant to the False Claims Act, where persons or entities have made false claims to a federal agency. An example of such action would include false statements made to Medicare or Medicaid by health care organizations. Other affirmative litigation includes mortgage foreclosures on behalf of the Departments of Agriculture and Housing and Urban Development, negligence actions, land condemnation, affirmative environmental cases, and litigation conducted under the Fair Housing Act and the Americans With Disabilities Act (ADA).
As part of its role in affirmative litigation, the Financial Litigation Unit of the Civil Division diligently pursues debts owed to the United States in the form of defaulted student loans, criminal fines and restitution owed after sentencing, and unpaid judgments in favor of the United States. Affirmative civil enforcement produces funds which can equal or exceed the yearly cost of administering the United States Attorney's office.
The Civil Division also processes requests for information under the Freedom of Information Act, represents the federal government in commercial litigation cases such as bankruptcy and foreclosure matters involving the United States as a creditor or lien holder, secures forfeiture of property used in criminal activities, and represents individual government employees when they are sued in connection with their federal employment.
Affirmative Enforcement
Affirmative Civil Enforcement is the United States Department of Justice’s program by which civil lawsuits are filed by the United States:
• to recover money lost due to fraud and other misconduct against the United States government;
• to impose civil penalties for violations of the nation’s environmental, health, safety and economic welfare laws; and
• to use the federal Fraud Injunction Statute to stop on-going mail, wire, bank or health care fraud and freeze ill-gotten gains derived from those frauds.
Examples of ACE Enforcement Activities
• civil prosecution of contractors who commit fraud against the United States, including the Department of Energy, Department of Defense, and the Tennessee Valley Authority, by providing substandard or counterfeit parts, or by overcharging for the products or services they provide;
• civil prosecution of health care institutions, providers, professionals, and manufacturers and distributors of health care products who unlawfully benefit from the Medicare, Medicaid (TennCare), TriCare, and other federally funded health care programs through fraudulent activities such as billing for goods or services not rendered, overbilling, inflating cost reports, fraudulent marketing practices, kickbacks, and providing substandard quality of care to patients;
• recovery of grants and loans made by federal agencies such as the Small Business Administration, the United States Department of Agriculture, and the Department of Housing and Urban Development to individuals who have made misrepresentations in order to qualify for these federal benefits to which they would not otherwise be entitled or who misrepresent how they spent government funds;
• civil prosecution of companies and individuals for civil penalties and for injunctions to correct pollution of our air and waterways;
• civil prosecution of individuals and organizations that violate anti-discrimination laws through the unlawful denial of equal housing, education, and employment opportunities as a result of discrimination on account of race, religion, gender, national origin, and disability; and
• enforcement of disability rights under the Americans with Disabilities Act to ensure uniform levels of accessibility for citizens with disabilities.
Affirmative Civil Enforcement
Our ACE program has recovered millions of dollars and effected change in a wide spectrum of industry. Some recent examples include: $40 million settlement with a community hospital for violations of the Ethics in Patients Referrals Act and the Anti-Kickback Statute; $6.2 million settlement with a government contractor for recovery of safety-related performance fees that were paid by the government based upon fraudulent safety reports by the contractor; $1.7 million settlement to recover Medicare/TennCare overpayments from a large cardiology physicians practice group; $1.1 million consent judgment with a psychiatrist who submitted false claims to Medicare and TennCare for services not rendered and for improperly billed services; $500,000 recovered from a community mental health center for failure to comply with certain requirements of the State’s managed care organization involving billing for telephonic counseling services. Our ACE program has also addressed drug diversion by health care providers, quality of care concerns with health care providers, and accessibility and public accommodation for people with disabilities under the Americans with Disabilities Act.
Our ACE attorneys and staff work closely with agency investigators and auditors to pursue allegations of fraud. The cases primarily fall under the Civil False Claims Act, which provides the United States with a cause of action against any person who (1) presents or causes to be presented, a false or fraudulent claim for money or property against the United States; or (2) makes or causes to be made a false statement to get a false claim paid. Liability under the Act is triple the amount of damages suffered by the United States, plus a civil penalty of $5,500 to $11,000 for each violation. The government may also recover the costs of the civil action.
To report fraud and abuse against the federal government, please contact us at:
Affirmative Civil Enforcement Coordinator
United States Attorney’s Office
Eastern District of Tennessee
800 Market Street, Suite 211
Knoxville, TN 37902
Elizabeth S. Tonkin
(865) 545-4167