The Michigan House of Representatives has passed H.H. 4577, the Medicaid Whistleblower Protection Statute, which would amend the state’s Medicaid False Claims Act. The new provisions would allow whistleblowers who discover fraud against the health system to bring a civil suit against the violators. It would also provide legal protection to whistleblowers and a financial incentive for bringing the suit.
The state attorney general estimates that Michigan loses from $225 million to $800 million in Medicaid fraud annually.
Insurance Journal reported on the bill’s passage on October 6, 2005.