AN ACT EXPANDING LIABILITY UNDER THE FALSE CLAIMS ACT FOR ENTITIES WITH AN OWNERSHIP INTEREST AND PROHIBITING THE LICENSING OF HOSPITALS WITH CERTAIN LEASE BACK ARRANGEMENTS.

HB 7224 expands liability under Connecticut's False Claims Act to include owners or investors with more than a 10% ownership or investment interest in entities that violate the law. Specifically, it requires these owners to report known violations within 60 days or face civil penalties of $5,500-$11,000 per violation, plus triple damages and prosecution costs. The bill directly affects businesses, hospitals, and other entities receiving state funds, as well as their investors or owners holding significant stakes. It does not address hospital licensing arrangements in the provided text, as the bill focuses solely on False Claims Act liability expansion. The changes take effect October 1, 2025.