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New York City Council issues report on False Claims ordinance

The New York City Council has been considering an amendment to the city’s administrative code to allow for civil penalties and a private right of action in suits alleging fraud against the municipality.

The proposed legislation is modeled on the federal False Claims Act and, like the federal law and the laws of several states, allows a whistleblower to bring a “qui tam” suit on behalf of the city.

The Committee on Governmental Operations issued a report on November 9, 2004. The text of the proposed law (Int. No 346-2004) is available at the City Council’s website.

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