Congressman Ben Quayle released the following statement after his introduction of HR 4369, the "Furthering Asbestos Claims Transparency" (FACT) Act of 2012. The FACT Act would help ensure that asbestos trust assets are preserved for the truly sick and needy by discouraging fraudulent and abusive claims.
"I'm proud to introduce the FACT Act today with bipartisan support. This legislation will provide sunshine and transparency to the asbestos trust system. The opaque and unsupervised way in which the system operates leaves it wide open to fraud and abuse which endangers the very existence of asbestos trusts. We need this legislation to ensure that trial lawyers aren't enriching themselves through abuse of the system, at the expense of those who have a legitimate claim to trust money.
"Asbestos bankruptcy trusts pay billions of dollars every year to resolve claims. The GAO has confirmed that asbestos bankruptcy trusts operate without real oversight and do not compare their claims to prevent fraud. By requiring the trusts to operate transparently, Congress can deter further abuse and preserve the trusts' assets for truly needy and sick victims of asbestos exposure.