What act was passed to deter improper payments to subcontractors and contractors?

The Anti-Kickback Act of 1986 was specifically designed to prevent improper payments in government contracting by making it unlawful to receive or solicit kickbacks in connection with government contracts. This legislation was implemented to ensure that all contractors and subcontractors are conducting their business in a fair and ethical manner, thus promoting integrity in the procurement process. The act penalizes both the act of providing kickbacks and the act of soliciting them, which helps to maintain a level playing field among contractors and protects taxpayer funds.

This act also emphasizes the need for compliance and monitoring, as government agencies are required to implement measures to detect and prevent kickbacks. By addressing the issue of improper payments directly, the Anti-Kickback Act of 1986 helps to preserve the trust and accountability essential to successful government contracting.