40 USC 123 - Civil remedies for fraud

U.S Code last checked for updates: Apr 28, 2024

§ 123.

Civil remedies for fraud

(a)

In General.—

In connection with the procurement, transfer or disposition of property under this subtitle, a person that uses or causes to be used, or enters into an agreement, combination, or conspiracy to use or cause to be used, a fraudulent trick, scheme, or device for the purpose of obtaining or aiding to obtain, for any person, money, property, or other benefit from the Federal Government—

(1)

shall pay to the Government an amount equal to the sum of—

(A)

$2,000 for each act;

(B)

two times the amount of damages sustained by the Government because of each act; and

(C)

the cost of suit;

(2)

if the Government elects, shall pay to the Government, as liquidated damages, an amount equal to two times the consideration that the Government agreed to give to the person, or that the person agreed to give to the Government; or

(3)

if the Government elects, shall restore to the Government the money or property fraudulently obtained, with the Government retaining as liquidated damages, the money, property, or other consideration given to the Government.

(b)

Additional Remedies and Criminal Penalties.—

The civil remedies provided in this section are in addition to all other civil remedies and criminal penalties provided by law.

(c)

Immunity of Government Officials.—

An officer or employee of the Government is not liable (except for an individual’s own fraud) or accountable for collection of a purchase price that is determined to be uncollectible by the federal agency responsible for property if the property is transferred or disposed of in accordance with this subtitle and with regulations prescribed under this subtitle.

(d)

Jurisdiction and Venue.—

(1)

Definition.—

In this subsection, the term “district court” means a district court of the United States or a district court of a territory or possession of the United States.

(2)

In general.—

A district court has original jurisdiction of an action arising under this section, and venue is proper, if at least one defendant resides or may be found in the court’s judicial district. Jurisdiction and venue are determined without regard to the place where acts were committed.

(3)

Additional defendant outside judicial district.—

A defendant that does not reside and may not be found in the court’s judicial district may be brought in by order of the court, to be served personally, by publication, or in another reasonable manner directed by the court.

(Pub. L. 107–217, Aug. 21, 2002, 116 Stat. 1070.)

cite as: 40 USC 123