Under a civil war era law that was little used until the late 1980s,whistle-blowers who report on companies that are cheating the government stand to receive up to 30 percent of whatever money the company ultimately pays as a penalty for the fraud.

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The law referred to in the statement is the False Claims Act, which was introduced during the civil war era, but was rarely used until the late 1980s. The law allows whistle-blowers to receive a percentage of the penalty paid by companies that commit fraud against the government. The percentage can range from 15-30% depending on certain factors.

Under a Civil War Era Law That Was Little Used