Currently the IRS provides a bounty/reward system for reporting tax fraud. Other agencies plagued by fraud, like entitlement programs (e.g. medicare fraud) or government contracts, should have a similar system. Millions of dollars are lost to fraud and having a cash incentive will encourage more reporting and discourage fraud. If such system is already in place it should be advertised.
Showing 2 ideas for tag "fraud"
Periodically send each Medicare / Medicaid recipient a listing of common characteristics of fraudulent providers (e.g. billing for services not actually provided, listing medications and equipment not actually provided, etc.) and provide advice on how to report the fraud. Add the incentive of up to $50,000 tax-free reward tailored to the magnitude of fraud that they report which is validated upon investigation. Implement... more »