The Lincoln Law: America’s Weapon Against Government Fraud
- The Chairman
- Sep 15
- 2 min read
By Chairman Bob Sutton 📍 Broward County, FL | 💼 Financial Literacy Educator | 🇺🇸 Advocate for Fiscal Responsibility
🇺🇸 What Is the Lincoln Law?
The Lincoln Law, formally known as the False Claims Act (FCA), is one of the most powerful anti-fraud laws in U.S. history. It was signed into law in 1863 by President Abraham Lincoln during the Civil War to combat rampant fraud by suppliers who were billing the Union Army for defective goods, faulty weapons, and non-existent services.
📜 Official Name: False Claims Act 🧠 Nickname: Lincoln Law 🎯 Purpose: Prevent and punish fraud against the U.S. Government.
🛡️ Why Was It Created?
During the Civil War, some dishonest contractors were:
Selling the Union Army spoiled food and moldy rations.
Providing faulty uniforms and boots that fell apart.
Delivering rifles that didn’t fire—or never delivering them at all.
Charging the government for horses that were dead on arrival.
Lincoln needed a strong, enforceable law that could both deter fraud and recover stolen taxpayer money. That’s when Congress passed the False Claims Act.
💥 Key Features of the Lincoln Law
Qui Tam Provision (“He who sues on behalf of the king as well as for himself”):
Allows private citizens (known as whistleblowers) to sue companies on behalf of the U.S. government if they know of fraud.
Whistleblowers can receive 15–30% of any money the government recovers.
Treble Damages:
Defendants who lose a False Claims Act case must pay three times the amount defrauded, plus penalties.
Broad Scope:
Applies to healthcare, defense contracts, education grants, infrastructure, oil & gas contracts, and more.
🧑⚖️ How It Works Today
The Lincoln Law has evolved but remains extremely relevant in uncovering fraud:
Over $70 billion has been recovered under the FCA since it was strengthened in the 1980s.
Whistleblowers—often employees, contractors, or industry insiders—play a vital role.
Industries frequently targeted include Medicare/Medicaid, defense contracting, and COVID-relief funds.
🔔 Why the Lincoln Law Still Matters
In today’s world of trillion-dollar budgets, government bailouts, and massive infrastructure spending, fraud is still alive and well. The Lincoln Law reminds us:
“Eternal vigilance is the price of liberty—and taxpayer money.”
From pandemic fraud to defense scams, this law ensures that We the People still have a weapon to expose the abuse of government funds.
💡 Final Thought
President Lincoln didn’t just free the slaves—he also helped free the American taxpayer from fraudsters. The False Claims Act, or Lincoln Law, empowers honest citizens to speak up and protect our nation’s resources. Whether you're a teacher, truck driver, or crewman—if you spot fraud, the law has your back.
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