Source: https://www.fcalawfirm.com/blog/fca-liability-provisions-part-6/
Timestamp: 2019-04-25 06:09:35+00:00

Document:
The Act’s sixth liability provision is 31 U.S.C. § 3730(a)(1)(F), which provides that any person who “knowingly buys, or receives as a pledge of an obligation or debt, public property from an officer or employee of the Government, or a member of the Armed Forces, who lawfully may not sell or pledge property” is liable.
Simplified Example: A pawnbroker receives night vision goggles from a member of the armed forces as a pledge of collateral on a debt, knowing that the service member probably does not have authority to dispose of the night vision goggles.
United States v. Hart, 146 F. 202, 202–03 (N.D. Ill. 1906). This court directed the jury to grant a verdict in favor of the United States. Id. at 203. In United States v. Smith, 156 F. 859 (C.C.D. Wash. 1907), the court observed “There are very good reason for [this law] being enforced, for there is nothing so demoralizing to the soldier and the service as this buying of clothing and uniforms by civilians.” Id. at 862. However, in another case, the Court found no violation because it was the soldier’s overcoat to sell. United States v. Michael, 153 F. 609, 615 (W.D. Tex. 1907).
In 2015, the Army owns military-issued clothing. Soldiers are responsible for replacing clothing lost through their own fault. However, unless they are discharged under less than honorable circumstances, soldiers are usually permitted to keep at least one set of clothing upon leaving service. Army Regulation 700-84, Logistics, Issue and Sale of Personal Clothing, at chps. 2-7, 5-2(c)(4)(b), 12, 14-16(b) (July 22, 2014). Soldiers can be court marshaled for theft of property owned by the military. United States v. Jimenez, 2011 CCA LEXIS 327 (N-M.C.C.A. Nov. 29, 2011) (M-4 rifle, Glock pistols, & night vision goggles); United States v. Roach, 65 M.J. 866 (A.C.C.A. 2007) (night vision goggles).
If you know of someone who has made false pledges, claims, or statements, or who has cheated the Government, protect yourself and explore potential remedies. You can obtain guidance from experienced legal counsel by contacting us.

References: § 3730
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