Three former Abbott employees are set to receive $69 million for bringing a False Claims Act case that led to a federal settlement over infant formula. The share comes from the federal portion of a broader $384,999,040 resolution, not from a consumer claims fund. Their payout shows the unusually large financial role private whistleblowers can play when allegations involve government purchases.
The Case Began as a Qui Tam Lawsuit
The Justice Department identifies Scott Millard, Kristine Cooper and Loren Cooper as the relators, or private parties who sued on behalf of the United States. All three were Abbott employees. Their action was filed in federal court in Michigan under provisions allowing private individuals to pursue alleged false claims against government programs.
A qui tam plaintiff supplies information and carries litigation risk before the government decides whether to intervene. If the case produces a recovery, the statute permits a relator to receive a share. The $69 million announced by DOJ compensates the three relators collectively for that role; it is not described as $69 million for each person.
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The Federal Share Is Smaller Than the Full Settlement
Abbott agreed to pay $348,700,868 to the United States and $36,298,172 to certain states. The two parts total $384,999,040, often rounded to nearly $385 million. DOJ says the $69 million whistleblower award is a share of the federal settlement.
That allocation matters when comparing the award with the overall resolution. The relator share is not calculated from the state portion, and the public release does not create any separate right for consumers to share in either amount. Federal and state governments receive the settlement payments because WIC and Medicaid programs bought the products at issue.
The Allegations Connected Manufacturing to Public Claims
The government alleged that powder formula and nutritional products made at Abbott facilities failed to meet statutory, regulatory and contractual standards from 2018 through 2022. The complaint described roof leaks, moisture, damaged dryer surfaces, cleaning practices and testing decisions that allegedly increased contamination risk.
False Claims Act liability was asserted because government programs paid for products allegedly represented as compliant. The theory does not require the whistleblowers themselves to have purchased formula. Their employment allegedly gave them information about manufacturing and disclosures that government investigators could test against public-program claims.
The Settlement Contains No Liability Finding
DOJ states that the resolved claims are allegations and that no determination of liability has been made. The relators’ award does not change that posture. A substantial whistleblower share can coexist with a settlement in which the defendant does not admit the allegations and no judge or jury decides them after trial.
The payment nevertheless reflects a binding financial resolution. Once settlement conditions are satisfied, defined federal and state claims are released. The relator share is funded from the recovery produced by that resolution and illustrates the incentive Congress built into the False Claims Act to surface information the government may not possess.
No Public Filing Window Follows the Award
The announcement names the three relators and their collective payment. It does not invite other employees or members of the public to submit claims for part of the $69 million. A whistleblower award follows participation in the underlying case, not a post-settlement application available to anyone with general information.
Nor is the federal resolution described as compensation for families who bought formula. Any private consumer litigation would have its own court record, class definition and administrator. Treating the DOJ payment as a household refund would misstate the destination of the money.
The September 14 primary record confirms both halves of the headline: Abbott’s resolution totals almost $385 million, and the former employees who brought the action will receive $69 million from its federal portion. It also preserves the unresolved factual posture by stating that the claims remain allegations.
The relator share rewards information and litigation risk. False Claims Act cases can remain under seal while the Justice Department investigates and decides whether to intervene. During that period, relators and their counsel may organize records, answer government questions and maintain a case without knowing whether a recovery will occur. The share provision creates an incentive to bring detailed evidence of alleged fraud involving public money.
The percentage awarded can depend on the government’s involvement and the relators’ contribution under the statute and negotiated resolution. DOJ announced the resulting $69 million amount but did not publish an individual split among Millard and the Coopers. Any division among the three should therefore remain unstated unless disclosed in a court filing.
Former employees occupied a distinct evidentiary position. Employees may see quality records, internal communications and responses to regulators that purchasers cannot access. In this case, the complaint allegations included plant conditions and testing decisions, subjects that would be difficult to reconstruct from a retail receipt.
That access also requires investigators to test credibility and corroborate claims. Employment alone does not prove a False Claims Act violation. The government’s intervention and settlement reflect its assessment of the evidence and litigation risk, while the no-liability clause confirms that the allegations were not finally adjudicated.
Programs With an Actual Household Application
A whistleblower share belongs to the named relators and creates no public claim window. Household programs such as SNAP after age 60, senior property-tax relief and Extra Help for drug costs instead use published eligibility rules and separate applications.
The Benefits Checklist gathers 11 programs in 69 pages and includes the 2026 limits plus a 50-state phone directory.
See the application-based program list in The Benefits Checklist.
AI tools assisted in researching and drafting this article, which was reviewed prior to publication.
Warren Cohen is a finance writer based in Phoenix, Arizona, covering personal finance topics including credit, banking, and beginner investing. He earned his degree in business administration from Arizona State University and began his career working in consumer finance, where he gained direct experience with lending and credit systems. He now writes for personal finance websites and fintech platforms, focusing on clear, practical content that helps readers make informed financial decisions.
