Full Text of SB1577 100th General Assembly
SB1577eng 100TH GENERAL ASSEMBLY |
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| 1 | | AN ACT concerning civil law.
| 2 | | Be it enacted by the People of the State of Illinois,
| 3 | | represented in the General Assembly:
| 4 | | Section 5. The Illinois False Claims Act is amended by | 5 | | changing Section 3 as follows:
| 6 | | (740 ILCS 175/3) (from Ch. 127, par. 4103)
| 7 | | Sec. 3. False claims.
| 8 | | (a) Liability for certain acts. | 9 | | (1) In general, any person who:
| 10 | | (A) knowingly presents, or causes to be presented, | 11 | | a false or fraudulent claim
for payment or approval;
| 12 | | (B) knowingly makes, uses, or causes to be made or | 13 | | used, a false record
or statement material to a false | 14 | | or fraudulent claim;
| 15 | | (C) conspires to commit a violation of | 16 | | subparagraph (A), (B), (D), (E), (F), or (G);
| 17 | | (D) has possession, custody, or control of | 18 | | property or money used, or to
be used, by the State and | 19 | | knowingly delivers, or causes to be delivered, less | 20 | | than all the money or property;
| 21 | | (E) is authorized to make or deliver a document | 22 | | certifying receipt of
property used, or to be used, by | 23 | | the State and, intending to defraud the
State, makes or |
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| 1 | | delivers the receipt without completely knowing that | 2 | | the
information on the receipt is true;
| 3 | |
(F) knowingly buys, or receives as a pledge of an | 4 | | obligation or debt,
public property from an officer or | 5 | | employee of the State, or a member of
the Guard, who | 6 | | lawfully may not sell or pledge property; or
| 7 | | (G) knowingly makes, uses, or causes to be made or | 8 | | used, a false record
or statement material to an | 9 | | obligation to pay or transmit
money or property to the | 10 | | State, or knowingly conceals or knowingly and | 11 | | improperly avoids or decreases an obligation to pay or | 12 | | transmit money or property to the State,
| 13 | | is liable to the State for a civil penalty of not less than | 14 | | the minimum amount and not more than the maximum amount | 15 | | allowed for a civil penalty for a violation of the federal | 16 | | False Claims Act (31 U.S.C. 3729 et seq.) as adjusted by | 17 | | the Federal Civil Penalties Inflation Adjustment Act of | 18 | | 1990 (28 U.S.C. 2461) $5,500 and not
more than $11,000 , | 19 | | plus 3 times the amount of damages which the State
sustains | 20 | | because of the act of that person. Notwithstanding any | 21 | | other provision, a person is liable to the State for a | 22 | | civil penalty of not less than $5,500 and not more than | 23 | | $11,000, plus 3 times the amount of damages which the State | 24 | | sustains because of the act of that person, when: (i) the | 25 | | civil action was brought by a private person pursuant to | 26 | | paragraph (1) of subsection (b) of Section 4; (ii) the |
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| 1 | | State did not elect to intervene pursuant to paragraph (2) | 2 | | of subsection (b) of Section 4; (iii) the actual amount of | 3 | | the tax owed to the State is equal to or less than $50,000, | 4 | | which does not include interest, penalties, attorney's | 5 | | fees, costs, or any other amounts owed or paid pursuant to | 6 | | this Act; and (iv) the violation of this Act relates to or | 7 | | involves a false claim regarding a tax administered by the | 8 | | Department of Revenue, excluding claims, records, or | 9 | | statements made under the Property Tax Code. The penalties | 10 | | in this Section are intended to be remedial rather than | 11 | | punitive, and shall not preclude, nor be precluded by, a | 12 | | criminal prosecution for the same conduct. | 13 | | (2) A person violating
this subsection shall also be | 14 | | liable to the State for the costs of a civil
action brought | 15 | | to recover any such penalty or damages.
| 16 | | (b) Definitions. For purposes of this Section: | 17 | | (1) The terms
"knowing" and "knowingly": | 18 | | (A) mean that a person, with respect to | 19 | | information:
| 20 | | (i) has actual knowledge of the information;
| 21 | | (ii) acts in deliberate ignorance of the truth | 22 | | or falsity of the
information; or
| 23 | | (iii) acts in reckless disregard of the truth | 24 | | or falsity of the
information, and | 25 | | (B) require no proof of specific intent to defraud.
| 26 | | (2) The term "claim": |
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| 1 | | (A) means any
request or demand, whether under a | 2 | | contract or otherwise, for money or
property and | 3 | | whether or not the State has title to the money or | 4 | | property, that | 5 | | (i) is presented to an officer, employee, or | 6 | | agent of the State; or | 7 | | (ii) is made to a contractor, grantee, or other | 8 | | recipient, if the money or property is to be spent | 9 | | or used on the State's behalf or to advance a State | 10 | | program or interest, and if the
State: | 11 | | (I) provides or has provided any portion | 12 | | of the money or property requested or
demanded; | 13 | | or | 14 | | (II) will reimburse such contractor, | 15 | | grantee, or other
recipient for any portion of | 16 | | the money or property which is requested
or | 17 | | demanded; and | 18 | | (B) does not include requests or demands for money | 19 | | or property that the State has paid to an individual as | 20 | | compensation for State employment or as an income | 21 | | subsidy with no restrictions on that individual's use | 22 | | of the money or property.
| 23 | | (3) The term "obligation" means an established duty, | 24 | | whether or not fixed, arising from an express or implied | 25 | | contractual, grantor-grantee, or licensor-licensee | 26 | | relationship, from a fee-based or similar relationship, |
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| 1 | | from statute or regulation, or from the retention of any | 2 | | overpayment. | 3 | | (4) The term "material" means having a natural tendency | 4 | | to influence, or be capable of influencing, the payment or | 5 | | receipt of money or property. | 6 | | (c) Exclusion. This Section does not apply to claims, | 7 | | records, or
statements made under the Illinois Income Tax Act.
| 8 | | (Source: P.A. 95-128, eff. 1-1-08; 96-1304, eff. 7-27-10 .)
| 9 | | Section 99. Effective date. This Act takes effect upon | 10 | | becoming law.
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