Environmental Fraud

Environmental whistleblowers play an important role in protecting all of us. They are critical to our government’s ability to enforce our environmental protection laws and punish polluters.

State and federal governments have created numerous mechanisms to reward environmental whistleblowers for helping the government.

The False Claims Act

Government contractors and subcontractors can violate the False Claims Act by engaging in environmental fraud schemes like the following:

  • Underpaying oil, gas, and other natural resource royalties;

  • Lying to the government to avoid paying environmental fines;

  • Overcharging the government on environmental clean up projects;

  • Violating important environmental requirements in government contracts or regulations.

Whistleblowers who bring successful False Claims Act cases are typically awarded between 15% and 30% of the government’s recovery.

The SEC Whistleblower Program

Whistleblowers can report material misrepresentations and omissions regarding environmental issues through the SEC Whistleblower Program, including:

  • Failures to disclose significant risks associated with environmental liabilities, climate change, and sustainability;

  • Lies by investment advisors and funds regarding environmental, social, and governance (ESG) strategies.

Whistleblowers who help the SEC recover one million dollars or more can receive an award of between 10% and 30% of the SEC’s recovery.

The IRS Whistleblower Program

Falsely claiming environmental tax credits is a form of tax fraud that can be reported through the IRS Whistleblower Program. Whistleblowers may be eligible for an award of 15% to 30% of the IRS’s recovery.

Act to Prevent Pollution from Ships (APPS)

The APPS makes it illegal to violate certain provisions of the International Convention for the Prevention of Pollution from Ships (MARPOL) and other pollution laws by dumping waste material from ships. APPS whistleblowers can receive up to half of the money recovered thanks to their lawsuits.

Various Wildlife Protection Laws

There are also numerous wildlife protection laws with award provisions, including:

  • The Endangered Species Act;

  • The Lacey Act (prohibiting illegal trafficking of wildlife and plants);

  • The Rhinoceros and Tiger Conservation Act;

  • The Wild Bird Conservation Act;

  • The Antarctic Conservation Act;

  • Fish and Wildlife Improvement Act.

These programs allow the Government to make a whistleblower award in an amount it deems appropriate.

It can be difficult to navigate the myriad whistleblower award programs and statutes that may apply to your information. Experienced counsel can help you figure out your next steps.

If you would like more information or would like to speak to an attorney at Whistleblower Partners, please contact us for a confidential consultation.