§ 335.05. False claims.


Latest version.
  • (A)

    Liability for Certain Acts. Any person who:

    (1)

    Knowingly presents, or causes to be presented, to an officer or employee of the city a false or fraudulent claim for payment or approval;

    (2)

    Knowingly makes, uses, or causes to be made or used, a false record or statement to get a false or fraudulent claim paid or approved by the city;

    (3)

    Conspires to defraud the city by getting a false or fraudulent claim allowed or paid;

    (4)

    Has possession, custody, or control of property or money used, or to be used, by the city and, intending to defraud the city or willfully to conceal the property, delivers, or causes to be delivered, less property than the amount for which the person receives a certificate or receipt;

    (5)

    Authorized to make or deliver a document certifying receipt of property used, or to be used, by the city and, intending to defraud the city, makes or delivers the receipt without completely knowing that the information on the receipt is true;

    (6)

    Knowingly buys, or receives as a pledge of an obligation or debt, public property from an officer or employee of the city, who lawfully may not sell or pledge the property; or

    (7)

    Knowingly makes, uses, or causes to be made or used, a false record or statement to conceal, avoid, or decrease an obligation to pay or transmit money or property to the city,

    is liable to the city for a civil penalty of not less than five thousand dollars ($5,000.00) and not more than ten thousand dollars ($10,000.00), plus three (3) times the amount of damages which the city sustains because of the act of that person, except that if a court finds that:

    (a)

    The person committing the violation of this subsection furnished officials of the city responsible for investigating false claims violations with all information known to such person about the violation within thirty (30) days after the date on which the defendant first obtained the information;

    (b)

    Such person fully cooperated with any city investigation of such violation; and

    (c)

    At the time such person furnished the city with the information about the violation, no criminal prosecution, civil action, or administrative action had commenced under this section with respect to such violation, and the person did not have actual knowledge of the existence of an investigation into such violation;

    The court may assess not less than two (2) times the amount of damages which the city sustains because of the act of the person. A person violating this subsection shall also be liable to the city for the costs of a civil action brought to recover any such penalty or damages, including attorney fees.

    (B)

    Knowing and Knowingly Defined. For purposes of this section, the terms "knowing" and "knowingly" mean that a person, with respect to information:

    (1)

    Has actual knowledge of the information;

    (2)

    Acts in deliberate ignorance of the truth or falsity of the information; or

    (3)

    Acts in reckless disregard of the truth or falsity of the information, and no proof of specific intent to defraud is required.

    (C)

    Claim Defined. For purposes of this section, "claim" includes any request or demand, whether under a contract or otherwise, for money or property which is made to the city or to a contractor, grantee, or other recipient of the city if the city provides any portion of the money or property which is requested or demanded, or if the city will reimburse such contractor, grantee, or other recipient for any portion of the money or property which is requested or demanded.

    (D)

    Any information furnished to the city pursuant to subparagraphs (A) through (C) shall be considered confidential.

    (E)

    Exclusion. This section does not apply to claims, records, or statements made under Chapter 361 of the city code.

    (F)

    Any person who is found by the court to have violated this section shall be barred from receiving a contract from the city for a period of three (3) years.

    (G)

    The city attorney is authorized to commence an action in a court of competent jurisdiction to collect the civil penalty or multiple damages provided by this section, and prior to the commencement of an action the city attorney is authorized to negotiate the settlement of a claim under this section.

(Ord. 2163-93.)