Provisions governing false claims against the state modified, and additional grounds for liability provided.

This bill modifies Minnesota's False Claims Act to strengthen penalties for fraud against the state and its political subdivisions. It directly affects individuals or entities that submit false claims for government money, property, or services by adding a new category of liability for specific tax and unemployment benefit violations. Key changes include redefining "ownership or investment interest" to cover various equity stakes and updating the definition of the "state" to include more government entities. The legislation also clarifies that a government's decision to pay a claim does not excuse the fraud if it was known to be false, while maintaining the option for reduced penalties if the violator cooperates fully with an investigation.