<section article="ggp" article_name="General Provisions" number="8-101" title_number="8" title_name="False Claims" subtitle_number="1"> <level label="a"> <text>In this title the following words have the meanings indicated.</text> </level> <level label="b"> <level label="1"> <text>“Claim” means a request or demand, under a contract or otherwise, for money or other property, whether or not the governmental entity has title to the money or property, that is:</text> <level label="i"> <text>presented to an officer, employee, or agent of a governmental entity; or</text> </level> <level label="ii"> <text>made to a contractor, a grantee, or another recipient, if the money or other property is to be spent or used on a governmental entity’s behalf or to advance an interest of a governmental entity, and the governmental entity:</text> <level label="1"> <text>provides or has provided any portion of the money or other property requested or demanded; or</text> </level> <level label="2"> <text>will reimburse the contractor, grantee, or other recipient for any portion of the money or other property that is requested or demanded.</text> </level> </level> </level> <level label="2"> <text>“Claim” does not include requests or demands for money or other property that a governmental entity has paid to an individual as compensation for employment or as an income subsidy with no restrictions on that individual’s use of the money or other property.</text> </level> </level> <level label="c"> <text>“Employee” means an individual who performs services:</text> <level label="1"> <text>for and under the control and direction of an employer; and</text> </level> <level label="2"> <text>under an employer’s promise or implied promise of payment of wages or other remuneration.</text> </level> </level> <level label="d"> <text>“Employer” means a person or group of persons that, acting directly or indirectly on behalf of another person or group of persons:</text> <level label="1"> <text>allows an employee to perform services under the employer’s control and direction; and</text> </level> <level label="2"> <text>promises or implies that the employee will receive wages or other remuneration in payment for the performance of those services.</text> </level> </level> <level label="e"> <text>“Governmental entity” means:</text> <level label="1"> <text>the State;</text> </level> <level label="2"> <text>a county; or</text> </level> <level label="3"> <text>a municipal corporation.</text> </level> </level> <level label="f"> <level label="1"> <text>“Knowing” or “knowingly” means, with respect to information and without requiring proof of specific intent to defraud, that a person:</text> <level label="i"> <text>has actual knowledge that the information is false;</text> </level> <level label="ii"> <text>acts in deliberate ignorance of the truth or falsity of the information; or</text> </level> <level label="iii"> <text>acts in reckless disregard of the truth or falsity of the information.</text> </level> </level> <level label="2"> <text>“Knowing” or “knowingly” does not mean, with respect to information, that a person acts in a manner that constitutes a mistake or negligence.</text> </level> </level> <level label="g"> <text>“Material” means having a natural tendency to influence or be capable of influencing the payment or receipt of money or other property.</text> </level> <level label="h"> <text>“Obligation” means an established duty, whether or not fixed, arising from:</text> <level label="1"> <text>an express or implied:</text> <level label="i"> <text>contractual relationship;</text> </level> <level label="ii"> <text>grantor–grantee relationship; or</text> </level> <level label="iii"> <text>licensor–licensee relationship;</text> </level> </level> <level label="2"> <text>a fee–based or similar relationship;</text> </level> <level label="3"> <text>statute or regulation; or</text> </level> <level label="4"> <text>the retention of an overpayment.</text> </level> </level> <level label="i"> <text>“Public body” means:</text> <level label="1"> <text>the General Assembly or any other elected body;</text> </level> <level label="2"> <text>a member or an employee of the General Assembly or any other elected body;</text> </level> <level label="3"> <text>a State court;</text> </level> <level label="4"> <text>a member or an employee of a State court;</text> </level> <level label="5"> <text>a State or local regulatory, administrative, or public agency or authority;</text> </level> <level label="6"> <text>an instrumentality of a State or local regulatory, administrative, or public agency or authority;</text> </level> <level label="7"> <text>a State or local law enforcement agency, prosecutorial office, or police or peace officer;</text> </level> <level label="8"> <text>a State or local department of an executive branch of government; or</text> </level> <level label="9"> <text>a division, a board, a bureau, an office, a committee, or a commission of any of the public bodies listed in this subsection.</text> </level> </level> <level label="j"> <text>“Retaliatory action” means discharging, suspending, demoting, threatening, harassing, or discriminating against an employee, a contractor, or an agent as a result of an activity described in § 8–107(a) of this title.</text> </level> <level label="k"> <text>“Supervisor” means an individual within an employer’s organization who has the authority to:</text> <level label="1"> <text>direct and control the work performance of an employee; or</text> </level> <level label="2"> <text>take corrective action regarding the violation of a law or regulation that is the subject of a complaint or charge under this title.</text> </level> </level> </section> <section article="ggp" article_name="General Provisions" number="8-102" title_number="8" title_name="False Claims" subtitle_number="1"> <level label="a"> <text>This section does not apply to claims, records, or statements related to State or local taxes.</text> </level> <level label="b"> <text>A person may not:</text> <level label="1"> <text>knowingly present or cause to be presented a false or fraudulent claim for payment or approval;</text> </level> <level label="2"> <text>knowingly make, use, or cause to be made or used a false record or statement material to a false or fraudulent claim;</text> </level> <level label="3"> <text>conspire to commit a violation under this title;</text> </level> <level label="4"> <text>have possession, custody, or control of money or other property used or to be used by or on behalf of a governmental entity and knowingly deliver or cause to be delivered to the governmental entity less than all of that money or other property;</text> </level> <level label="5"> <level label="i"> <text>be authorized to make or deliver a receipt or other document certifying receipt of money or other property used or to be used by a governmental entity; and</text> </level> <level label="ii"> <text>make or deliver a receipt or document intending to defraud the governmental entity, knowing that the information contained in the receipt or document is not true;</text> </level> </level> <level label="6"> <text>knowingly buy or receive as a pledge of an obligation or a debt publicly owned property from an officer, employee, or agent of a governmental entity who lawfully may not sell or pledge the property;</text> </level> <level label="7"> <text>knowingly make, use, or cause to be made or used a false record or statement material to an obligation to pay or transmit money or other property to a governmental entity;</text> </level> <level label="8"> <text>knowingly conceal, or knowingly and improperly avoid or decrease, an obligation to pay or transmit money or other property to a governmental entity, including misrepresenting the time at which a trade was made to make the transaction appear less favorable; or</text> </level> <level label="9"> <text>knowingly make any other false or fraudulent claim against a governmental entity.</text> </level> </level> <level label="c"> <level label="1"> <text>A person that is found to have violated subsection (b) of this section is liable to the governmental entity for:</text> <level label="i"> <text>a civil penalty of not more than $10,000 for each violation; and</text> </level> <level label="ii"> <text>an additional amount of not more than three times the amount of damages that the governmental entity sustains as a result of the acts of that person in violation of subsection (b) of this section.</text> </level> </level> <level label="2"> <text>The total amount owed by a person under paragraph (1) of this subsection may not be less than the amount of the actual damages the governmental entity incurs as a result of the person’s violation of subsection (b) of this section.</text> </level> </level> <level label="d"> <text>In determining the appropriate amount of fines and damages under subsection (c) of this section, the court shall consider:</text> <level label="1"> <text>the number, nature, and severity of the violations of this title for which the person has been found liable;</text> </level> <level label="2"> <text>the number, nature, and severity of any previous violations of this title;</text> </level> <level label="3"> <text>the degree of loss suffered by the governmental entity;</text> </level> <level label="4"> <text>the person’s history of billing compliance;</text> </level> <level label="5"> <text>whether the person has a compliance program in place;</text> </level> <level label="6"> <text>the extent to which the person has taken steps to address and correct the violation since the person became aware of the violation;</text> </level> <level label="7"> <text>any funds previously returned to the governmental entity in compliance with federal requirements regarding overpayments, to the extent the funds represented losses to the governmental entity caused by the violation;</text> </level> <level label="8"> <level label="i"> <text>whether the person self–reported the violation;</text> </level> <level label="ii"> <text>the timeliness of the self–reporting;</text> </level> <level label="iii"> <text>the extent to which the person otherwise cooperated in the investigation of the violation; and</text> </level> <level label="iv"> <text>the extent to which the person had prior knowledge of an investigation or other action relating to the violation; and</text> </level> </level> <level label="9"> <text>any other factor as justice requires.</text> </level> </level> <level label="e"> <text>The penalties provided in subsection (c) of this section are in addition to any criminal, civil, or administrative penalties provided under any other State or federal statute or regulation.</text> </level> </section> <section article="ggp" article_name="General Provisions" number="8-103" title_number="8" title_name="False Claims" subtitle_number="1"> <level label="a"> <text>If a governmental entity finds that a person has violated or is violating § 8–102 of this title, the governmental entity may file a civil action in a court of competent jurisdiction within the State against the person.</text> </level> <level label="b"> <text>In filing a civil action under this section, the governmental entity may seek:</text> <level label="1"> <text>the penalties provided under § 8–102(c) of this title; and</text> </level> <level label="2"> <text>subject to the guidelines under § 8–105(b)(4) of this subtitle, court costs and attorney’s fees.</text> </level> </level> <level label="c"> <text>A governmental entity may not maintain an action under this section if the governmental entity has filed a civil action based on the same underlying act under § 2–603 of the Health – General Article or has sought enforcement by the Attorney General under § 11–205 or § 11–205.1 of the State Finance and Procurement Article.</text> </level> </section> <section article="ggp" article_name="General Provisions" number="8-104" title_number="8" title_name="False Claims" subtitle_number="1"> <level label="a"> <level label="1"> <level label="i"> <text>A person may file a civil action on behalf of the person and the governmental entity in a court of competent jurisdiction within the State against a person who has acted or is acting in violation of § 8–102 of this title.</text> </level> <level label="ii"> <text>A civil action filed under subparagraph (i) of this paragraph shall be brought in the name of the governmental entity.</text> </level> </level> <level label="2"> <text>A person filing an action under this section may seek:</text> <level label="i"> <text>the penalties provided under § 8–102(c) of this title; and</text> </level> <level label="ii"> <text>subject to the guidelines set forth in § 8–105(a)(4) of this title, court costs and attorney’s fees.</text> </level> </level> <level label="3"> <level label="i"> <text>The person shall serve on the governmental entity a copy of the complaint and a written disclosure of substantially all material evidence and information that the person possesses, in accordance with the provisions of Title 2 of the Maryland Rules for serving process on the State or a local entity.</text> </level> <level label="ii"> <level label="1"> <text>The complaint shall be filed in camera and shall remain under seal for at least 60 days.</text> </level> <level label="2"> <text>The complaint may not be served on the defendant until the complaint is unsealed and the court orders the complaint served.</text> </level> <level label="3"> <text>Within 60 days after the governmental entity is served with the complaint and the material evidence and information, the governmental entity may elect to intervene and proceed with the action.</text> </level> </level> </level> <level label="4"> <level label="i"> <text>For good cause shown, the governmental entity may move the court for extensions of the time during which the complaint remains under seal under paragraph (3)(ii)1 of this subsection.</text> </level> <level label="ii"> <text>Any motions made under subparagraph (i) of this paragraph may be supported by affidavits or other submissions in camera.</text> </level> </level> <level label="5"> <level label="i"> <text>The defendant may not be required to answer a complaint filed under this section until after the complaint is:</text> <level label="1"> <text>unsealed and ordered by the court to be served; and</text> </level> <level label="2"> <text>served on the defendant in accordance with Title 2 of the Maryland Rules.</text> </level> </level> <level label="ii"> <text>When answering a complaint filed under this section, a defendant shall follow the time frames and other provisions for filing answers to a complaint as required under Title 2, Chapter 300 of the Maryland Rules.</text> </level> <level label="iii"> <text>During the period in which the complaint is under seal, if the governmental entity’s investigation reveals that the act, transaction, or occurrence that gave rise to the alleged violation of this title is reasonably likely to be continuing, the governmental entity shall notify the defendant as soon as practicable without jeopardizing the course and conduct of the governmental entity’s or the federal government’s investigation of the violation, compromising the development of evidence, or violating any State or federal law.</text> </level> </level> <level label="6"> <text>Before the later of the expiration of the 60–day period during which the complaint remains under seal under paragraph (3)(ii)1 of this subsection or any extension of the 60–day period obtained under paragraph (4) of this subsection, the governmental entity shall:</text> <level label="i"> <text>intervene and proceed with the action in a court of competent jurisdiction within the State; or</text> </level> <level label="ii"> <text>notify the court that it will not intervene and proceed with the action.</text> </level> </level> <level label="7"> <text>If the governmental entity does not elect to intervene and proceed with the action under paragraph (6) of this subsection, before unsealing the complaint, the court shall dismiss the action.</text> </level> <level label="8"> <text>If a person initiates an action under this section, no person other than the governmental entity may intervene in the action or initiate a related action based on the facts underlying the pending action.</text> </level> </level> <level label="b"> <level label="1"> <text>If the governmental entity intervenes and proceeds with the action under subsection (a)(6)(i) of this section:</text> <level label="i"> <text>the governmental entity shall have the primary responsibility for proceeding with the action and may not be bound by any act of the person who initiated the action; and</text> </level> <level label="ii"> <text>subject to paragraphs (3) through (6) of this subsection, the person who initiated the action may continue as a party to the action.</text> </level> </level> <level label="2"> <level label="i"> <text>During an investigation by the governmental entity conducted either independently or in conjunction with a civil action filed under this title, the governmental entity shall have the same rights of discovery as a civil litigant in the circuit court under Title 2, Chapter 400 of the Maryland Rules.</text> </level> <level label="ii"> <text>A person from whom the governmental entity seeks discovery shall be considered a party under Title 2, Chapter 400 of the Maryland Rules.</text> </level> </level> <level label="3"> <level label="i"> <text>Notwithstanding the objections of the person initiating the action, the governmental entity may elect at any point to withdraw its intervention as a party to the action.</text> </level> <level label="ii"> <text>If the governmental entity elects to withdraw as a party to the action:</text> <level label="1"> <text>the governmental entity shall notify the court and the party initiating the action; and</text> </level> <level label="2"> <text>the court shall dismiss the action.</text> </level> </level> </level> <level label="4"> <text>Notwithstanding the objections of the person initiating the action, if the court determines after a hearing that a proposed settlement is fair, adequate, and reasonable under the circumstances, the governmental entity may settle a civil action filed under this section.</text> </level> <level label="5"> <text>On motion of the governmental entity or the defendant or on the court’s own motion, the court may impose limitations on the participation of the person initiating an action under this section if:</text> <level label="i"> <text>the governmental entity shows that the person’s unrestricted participation in the action would:</text> <level label="1"> <text>interfere with or unduly delay the governmental entity in its pursuit of the civil action; or</text> </level> <level label="2"> <text>be repetitious, irrelevant, or harassing to the defendant; or</text> </level> </level> <level label="ii"> <text>the defendant shows that unrestricted participation by the person initiating the action would harass the defendant or cause the defendant undue burden or unnecessary expense.</text> </level> </level> <level label="6"> <text>Limitations imposed by the court under paragraph (5) of this subsection may include:</text> <level label="i"> <text>a limitation on the number of witnesses the person may call to testify;</text> </level> <level label="ii"> <text>a limitation on the length of the testimony of witnesses called by the person;</text> </level> <level label="iii"> <text>a limitation on the person’s cross–examination of witnesses; and</text> </level> <level label="iv"> <text>a limitation on the participation of the person in the litigation.</text> </level> </level> </level> <level label="c"> <level label="1"> <text>On a showing in camera by the governmental entity that certain actions of discovery by the person initiating the action would interfere with the governmental entity’s investigation or prosecution of a criminal or civil matter arising out of the same facts, the court may stay the discovery for a period of not more than 60 days.</text> </level> <level label="2"> <text>The court may extend the 60–day period on a further showing in camera that:</text> <level label="i"> <text>the governmental entity has pursued the criminal or civil investigation or proceeding with reasonable diligence; and</text> </level> <level label="ii"> <text>any proposed discovery in the civil action will interfere with the ongoing criminal or civil investigation or proceeding.</text> </level> </level> </level> </section> <section article="ggp" article_name="General Provisions" number="8-105" title_number="8" title_name="False Claims" subtitle_number="1"> <level label="a"> <level label="1"> <text>If the governmental entity intervenes and proceeds with an action filed under § 8–104 of this title and the governmental entity prevails, the court shall award the person initiating the action an amount that is:</text> <level label="i"> <text>not less than 15% and not more than 25% of the proceeds of the action or settlement of the claim; and</text> </level> <level label="ii"> <text>proportional to the amount of time and effort that the person substantially contributed to the final resolution of the civil action.</text> </level> </level> <level label="2"> <level label="i"> <text>If the court finds that the action is based primarily on disclosures of specific information relating to allegations or transactions in a criminal, a civil, or an administrative hearing, in a legislative or an administrative report, a hearing, an audit, or an investigation, or from the news media, the court may make an award to the person initiating the action that:</text> <level label="1"> <text>the court considers appropriate, taking into account the significance of the information and the role of the person initiating the action in advancing the case to litigation; and</text> </level> <level label="2"> <text>does not exceed 10% of the proceeds of the action.</text> </level> </level> <level label="ii"> <text>The information described in subparagraph (i) of this paragraph does not include information disclosed and provided by the person initiating the action.</text> </level> </level> <level label="3"> <text>Any payment to a person under paragraph (1) or (2) of this subsection shall be made from the proceeds of the action.</text> </level> <level label="4"> <level label="i"> <text>In addition to the amount provided under paragraphs (1) and (2) of this subsection, a court may award the person initiating the action:</text> <level label="1"> <text>an amount for reasonable expenses that the court finds to have been necessarily incurred; and</text> </level> <level label="2"> <text>reasonable attorney’s fees and costs.</text> </level> </level> <level label="ii"> <text>In determining the amount of any award under subparagraph (i) of this paragraph, the court shall consider the amount of any penalties and damages recovered in the action and any other factor as justice may require.</text> </level> <level label="iii"> <text>Any expenses, fees, and costs awarded under this paragraph shall be awarded against the defendant.</text> </level> </level> </level> <level label="b"> <level label="1"> <text>If a court finds that the action is initiated by a person who planned and initiated or otherwise deliberately participated in the violation on which the action was based, the court may, to the extent it considers appropriate, reduce the share of the proceeds of the action that the person otherwise would have received under this section.</text> </level> <level label="2"> <text>In reducing the share of the proceeds of the person initiating the action under this subsection, the court shall consider:</text> <level label="i"> <text>the role of the person in advancing the case to litigation; and</text> </level> <level label="ii"> <text>any relevant circumstances relating to the underlying violation.</text> </level> </level> <level label="3"> <level label="i"> <text>If the person initiating a civil action under § 8–104 of this title is convicted of criminal conduct arising from the person’s participation in the violation on which the action was based prior to a final determination of the action, the person:</text> <level label="1"> <text>shall be dismissed from the action; and</text> </level> <level label="2"> <text>may not receive any share of the proceeds of the action.</text> </level> </level> <level label="ii"> <text>The dismissal of the person initiating the action in accordance with this paragraph does not prejudice the right of the governmental entity to continue the action.</text> </level> </level> <level label="4"> <text>If the person initiating a civil action under § 8–104 of this title is convicted of criminal conduct arising from the person’s participation in the violation on which the action was based after the proceeds from the action are awarded to that person, the court shall order the person to repay the proceeds previously awarded.</text> </level> </level> <level label="c"> <text>A court may award reasonable attorney’s fees and expenses to a defendant and against the person initiating the action if:</text> <level label="1"> <text>the defendant prevails in the action; and</text> </level> <level label="2"> <text>the court finds that the claim of the person initiating the action was brought primarily for purposes of harassment or otherwise was brought in bad faith.</text> </level> </level> </section> <section article="ggp" article_name="General Provisions" number="8-106" title_number="8" title_name="False Claims" subtitle_number="1"> <level label="a"> <text>No court in this State shall have jurisdiction over an action filed under § 8–104 of this title against any member of the Legislative Branch or the Judiciary of the State, any member of the Governor’s Executive Council, the Attorney General, the Comptroller, or the State Treasurer if the action is based on evidence or information known to the governmental entity when the action was filed.</text> </level> <level label="b"> <text>A civil action may not be brought under this title by a person who is or was a public employee or public official if the allegations of the action are based substantially on:</text> <level label="1"> <text>allegations of wrongdoing or misconduct that the person had a duty or an obligation to report or investigate within the scope of the person’s public employment or office; or</text> </level> <level label="2"> <text>information or records to which the person had access as a result of the person’s public employment or office.</text> </level> </level> <level label="c"> <text>A person may not bring an action under § 8–104 of this title that is based on allegations or transactions that are the subject of a civil action or an administrative civil money penalty proceeding in which the governmental entity is already a party.</text> </level> <level label="d"> <level label="1"> <text>Except as provided in paragraphs (2) and (3) of this subsection, no court in this State shall have jurisdiction over an action filed under § 8–104 of this title that is based on the public disclosure of allegations or transactions:</text> <level label="i"> <text>in a criminal, a civil, or an administrative hearing;</text> </level> <level label="ii"> <text>in a legislative or an administrative report, a hearing, an audit, or an investigation; or</text> </level> <level label="iii"> <text>from the news media.</text> </level> </level> <level label="2"> <text>Paragraph (1) of this subsection does not apply if the action is initiated by a person that:</text> <level label="i"> <text>has direct and independent knowledge of the information on which the allegations are based; and</text> </level> <level label="ii"> <text>has voluntarily provided the information to the governmental entity before filing an action under § 8–104 of this title that is based on the information.</text> </level> </level> <level label="3"> <text>A governmental entity, through the Attorney General, may file a civil action under § 8–103 of this title based on a public disclosure described in paragraph (1) of this subsection.</text> </level> </level> <level label="e"> <text>The governmental entity is not liable for expenses that a person incurs in bringing an action under § 8–104 of this title.</text> </level> <level label="f"> <text>A person that is or was employed by the State, a local government, or any other political subdivision of the State as an auditor, an investigator, an attorney, a financial officer, or a contracting officer may not bring an action under § 8–104 of this title that is based on allegations or transactions that the person discovered or learned of while acting in the person’s capacity as an auditor, an investigator, an attorney, a financial officer, or a contracting officer for the State, local government, or other political subdivision of the State.</text> </level> </section> <section article="ggp" article_name="General Provisions" number="8-107" title_number="8" title_name="False Claims" subtitle_number="1"> <level label="a"> <text>A person may not take a retaliatory action against an employee, a contractor, or a grantee because the employee, contractor, or grantee:</text> <level label="1"> <text>acts lawfully in furtherance of an action filed under this title, including an investigation for, initiation of, testimony for, or assistance in an action filed or to be filed under this title;</text> </level> <level label="2"> <text>discloses or threatens to disclose to a supervisor or to a public body an activity, a policy, or a practice of the person that the employee, contractor, or grantee reasonably believes is in violation of § 8–102 of this title or a regulation adopted under this title;</text> </level> <level label="3"> <text>provides information to, or testifies before, a public body conducting an investigation, a hearing, or an inquiry into a violation of § 8–102 of this title or a regulation adopted under this title that is allegedly or actually committed by the person; or</text> </level> <level label="4"> <text>objects to or refuses to participate in any activity, policy, or practice that the employee, contractor, or grantee reasonably believes is in violation of § 8–102 of this title or a regulation adopted under this title.</text> </level> </level> <level label="b"> <level label="1"> <text>An employee, a contractor, or a grantee may file a civil action against a person other than a supervisor in State government, an appointing authority in State government, or the head of a principal unit in State government if the person takes a retaliatory action against the employee, contractor, or grantee in violation of subsection (a) of this section.</text> </level> <level label="2"> <text>The employee, contractor, or grantee may seek in the civil action:</text> <level label="i"> <text>an injunction to restrain a continuing violation of subsection (a) of this section;</text> </level> <level label="ii"> <text>reinstatement to the same seniority status held before the retaliatory action;</text> </level> <level label="iii"> <text>reinstatement of full fringe benefits and seniority rights;</text> </level> <level label="iv"> <text>two times the amount of lost wages, benefits, and other remuneration, including any interest accumulated;</text> </level> <level label="v"> <text>payment by the person of reasonable costs and attorney’s fees;</text> </level> <level label="vi"> <text>punitive damages;</text> </level> <level label="vii"> <text>an assessment of a civil penalty:</text> <level label="1"> <text>not exceeding $1,000 for the first violation; and</text> </level> <level label="2"> <text>not exceeding $5,000 for each subsequent violation; and</text> </level> </level> <level label="viii"> <text>any other relief necessary to make the employee, contractor, or grantee whole.</text> </level> </level> <level label="3"> <text>The remedies provided under this section do not diminish or affect the rights, privileges, or remedies available to the employee, contractor, or grantee under:</text> <level label="i"> <text>any other federal or State statute or regulation; or</text> </level> <level label="ii"> <text>any collective bargaining agreement or employee contract.</text> </level> </level> </level> <level label="c"> <text>A State employee who is subject to retaliatory action in violation of subsection (a) of this section may file a complaint under Title 5, Subtitle 3 of the State Personnel and Pensions Article.</text> </level> </section> <section article="ggp" article_name="General Provisions" number="8-108" title_number="8" title_name="False Claims" subtitle_number="1"> <level label="a"> <text>A civil action filed under this title may not be filed after the later of:</text> <level label="1"> <text>6 years after the date on which the underlying violation of § 8–102 of this title occurred; or</text> </level> <level label="2"> <text>3 years after the date when facts material to the right of action are known or reasonably should have been known by the person initiating the action or the official of the governmental entity charged with responsibility for acting under the circumstances, but in no event more than 10 years after the date on which the underlying violation of § 8–102 of this title occurred.</text> </level> </level> <level label="b"> <text>If the governmental entity elects to intervene and proceed with an action brought under this title, the governmental entity, through the Office of the Attorney General or the attorney for the local governmental entity, may:</text> <level label="1"> <text>file its own complaint; or</text> </level> <level label="2"> <text>amend the complaint of the person that brought the action to clarify, add detail to the complaint, or add additional claims to the complaint.</text> </level> </level> <level label="c"> <text>To the extent that the claim of the governmental entity arises out of the conduct, transactions, or occurrences set forth, or attempted to be set forth by a person, a pleading by the governmental entity relates back to the filing date of the complaint of the person that originally brought the action.</text> </level> <level label="d"> <text>In an action filed under this title, all essential elements of the cause of action, including damages, shall be proven by a preponderance of the evidence.</text> </level> <level label="e"> <text>Notwithstanding any other provision of law or rule of procedure or evidence in the Maryland Rules, a final judgment rendered in favor of the governmental entity in any criminal proceeding charging fraud or false statements, whether on a verdict after trial or on a plea of guilty or nolo contendere, shall stop the defendant from denying the essential elements of the offense in any action filed under this title that involves the same act, transaction, or occurrence as in the criminal proceeding.</text> </level> </section> <section article="ggp" article_name="General Provisions" number="8-109" title_number="8" title_name="False Claims" subtitle_number="1"> <level label="a"> <text>Any remedy provided under this title is in addition to any other appropriate legal or equitable relief provided under any other applicable State or federal statute or regulation.</text> </level> <level label="b"> <level label="1"> <text>The governmental entity shall make all reasonable efforts to coordinate any investigation of an alleged violation under this title with any investigation conducted by the federal government involving the same violation.</text> </level> <level label="2"> <text>The governmental entity’s objective shall be to avoid unnecessary duplication of effort on the part of the person alleged to have committed the violation and to minimize the burden of the investigation on the person.</text> </level> </level> <level label="c"> <level label="1"> <text>Except as provided under paragraph (2) of this subsection, the Comptroller shall deposit any civil penalty or damages collected by the State under this title into the General Fund of the State.</text> </level> <level label="2"> <level label="i"> <text>If a violation of this title affects any of the following funds, the Comptroller shall deposit any civil penalty or damages collected by the State under this title into the affected fund:</text> <level label="1"> <text>a fund that is not subject to § 7–302 of the State Finance and Procurement Article;</text> </level> <level label="2"> <text>a special fund requiring the reversion of appropriated funds to the special fund under § 7–304 of the State Finance and Procurement Article;</text> </level> <level label="3"> <text>a fund under the jurisdiction of the Board of Trustees for the State Retirement and Pension System; or</text> </level> <level label="4"> <text>a fund under the jurisdiction of the State Employee and Retiree Health and Welfare Benefits Program.</text> </level> </level> <level label="ii"> <text>If more than one fund is affected by a violation of this title, the Comptroller shall deposit any civil penalty or damages collected by the State into the appropriate fund or the General Fund of the State on a pro rata basis.</text> </level> </level> </level> <level label="d"> <level label="1"> <text>There is a False Claims Fund.</text> </level> <level label="2"> <text>The purpose of the Fund is to support the operations of the Attorney General in carrying out this title.</text> </level> <level label="3"> <text>The Attorney General shall administer the Fund.</text> </level> <level label="4"> <level label="i"> <text>The Fund is a special, nonlapsing fund that is not subject to § 7–302 of the State Finance and Procurement Article.</text> </level> <level label="ii"> <text>The State Treasurer shall hold the Fund separately, and the Comptroller shall account for the Fund.</text> </level> </level> <level label="5"> <text>The Fund consists of:</text> <level label="i"> <text>all attorney’s fees and costs collected by the State by judgment, settlement, agreement, or otherwise under this title;</text> </level> <level label="ii"> <text>money appropriated in the State budget to the Fund;</text> </level> <level label="iii"> <text>interest earnings; and</text> </level> <level label="iv"> <text>any other money from any other source accepted for the benefit of the Fund.</text> </level> </level> <level label="6"> <text>The Fund may be used only for the Attorney General to investigate and litigate suspected violations of this title.</text> </level> <level label="7"> <level label="i"> <text>The State Treasurer shall invest the money of the Fund in the same manner as other State money may be invested.</text> </level> <level label="ii"> <text>Any interest earnings of the Fund shall be credited to the Fund.</text> </level> </level> <level label="8"> <text>Expenditures from the Fund may be made only in accordance with the State budget.</text> </level> <level label="9"> <text>Money expended from the Fund is supplemental to and is not intended to take the place of funding that otherwise would be appropriated for the Attorney General.</text> </level> </level> </section> <section article="ggp" article_name="General Provisions" number="8-110" title_number="8" title_name="False Claims" subtitle_number="1"> <level label="a"> <text>Beginning October 1, 2016, the Office of the Attorney General shall report annually to the General Assembly, in accordance with § 2–1257 of the State Government Article, the following information for the previous fiscal year:</text> <level label="1"> <text>the number of civil actions filed under this title;</text> </level> <level label="2"> <text>the number of civil actions under this title in which a judgment was entered, whether by settlement or adjudication; and</text> </level> <level label="3"> <text>the number of claims made by the governmental entity based on alleged violations of § 8–102 of this title that are settled without the filing of a civil action under this title.</text> </level> </level> <level label="b"> <text>Unless the action is under seal in accordance with § 8–104 of this title, for each civil action reported under subsection (a)(1) or (2) of this section, the report shall state:</text> <level label="1"> <text>whether the action was filed by the governmental entity or by a person on behalf of the governmental entity and, if filed by a person, whether the governmental entity intervened and proceeded with the action;</text> </level> <level label="2"> <text>the name of the defendant;</text> </level> <level label="3"> <text>a description of the violation or alleged violation of § 8–102 of this title; and</text> </level> <level label="4"> <text>the amount sought in the action and, if applicable, the amount for which the defendant is liable under a settlement agreement or court order.</text> </level> </level> <level label="c"> <text>For each claim reported under subsection (a)(3) of this section, the report shall state:</text> <level label="1"> <text>a description of the violation or alleged violation of § 8–102 of this title;</text> </level> <level label="2"> <text>the resolution of the claim;</text> </level> <level label="3"> <text>the amount, if any, the person against whom the claim was made agreed to pay in settlement of the claim; and</text> </level> <level label="4"> <text>the amount, if any, collected by the governmental entity.</text> </level> </level> <level label="d"> <text>The attorney for each county and the attorney for each municipal corporation shall submit to the Office of the Attorney General any information the Office determines is necessary to complete the report required under this section.</text> </level> </section> <section article="ggp" article_name="General Provisions" number="8-111" title_number="8" title_name="False Claims" subtitle_number="1"> <text>This title may be cited as the Maryland False Claims Act.</text> </section>