Hamilton Securities Group was found liable under the False Claims Act for submitting false claims to HUD involving a note sale. The company used the wrong financial model (revenue model instead of unpaid principal balance model) to calculate project values, resulting in $1.5 million in damages. The court enforced the judgment against Hamilton, holding them responsible for knowingly submitting inaccurate financial data to a federal agency.
Use the correct calculation methods and models when submitting claims to government agencies—using the wrong methodology, even if unintentional, can trigger False Claims Act liability