U.S. Treasury Launches Fraud Whistleblower Rewards Program

The U.S. Treasury Department launched a new whistleblower rewards program on Monday, offering individuals up to 30 percent of fines collected from enforcement actions against fraudsters targeting federal programs, including Medicare and Medicaid. The initiative, announced by Treasury Secretary Scott Bessent, aims to combat illicit financial activities that cost taxpayers billions annually and encourage tips from both domestic and international sources.

Under the program, administered by the Treasury's Financial Crimes Enforcement Network, whistleblowers who provide information leading to successful enforcement actions resulting in penalties exceeding $1 million could receive between 10 and 30 percent of the collected fines. Payments will come directly from those penalties, ensuring no additional taxpayer funds are used. The effort builds on existing statutes, including the 2020 Anti-Money Laundering Act and the 2022 Anti-Money Laundering Whistleblower Improvement Act, formalizing rewards for tips on violations such as Bank Secrecy Act breaches, sanctions evasion, and healthcare fraud.

Bessent described the program as a key tool to enhance transparency and accountability. "As...