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Government Contracts
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September 19, 2011
Relators Land $8M Award In Cisco FCA Suit
An Arkansas federal judge ruled Monday that relators in a False Claims Act suit accusing Cisco Systems Inc. and another company of withholding information during government contract negotiations were entitled to an $8 million share of a $48 million settlement.
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September 19, 2011
Subcontractor Stole Incumbent's Navy Training Pact: Suit
NEK Advanced Securities Group Inc. launched a suit in Colorado federal court Friday accusing its second-tier subcontractor of unlawfully using NEK's resources and personnel to steal its prime subcontract to provide technical training for the U.S. Naval Special Warfare Command Center.
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September 19, 2011
DOD Strengthens Rule Targeting Negligent Contractors
The U.S. Department of Defense on Friday began allowing contracting officers to reduce or deny award fees to contractors believed to have jeopardized the safety of U.S. government workers in instances where U.S. courts have no jurisdiction over the contractors.
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September 16, 2011
Judge Won't Cut Relators From Lockheed FCA Suit
An Ohio federal judge on Friday rejected Lockheed Martin Corp.'s attempt to dismiss two relators from a suit alleging the company overbilled the government for substandard work on military planes, saying the False Claims Act's first-to-file rule does not apply.
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September 16, 2011
Saudi Food Co. To Pay $13M For Bribing Contractor
A Saudi Arabian food services company has agreed to pay $13 million to resolve charges filed in Illinois alleging it paid kickbacks to a Kellogg Brown & Root Inc. employee to win military contracts, the U.S. Department of Justice said Friday.
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September 16, 2011
Pay Discrimination Tool Could Burden Employers, OFCCP
The Office of Federal Contract Compliance Programs is seeking input on a proposed data collection tool to help fight pay discrimination in the ranks of federal contractors, but the proposal has raised concerns not only about the potential burden it places on employers, but the challenge to the agency of analyzing the reams of data, attorneys say.
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September 16, 2011
Corrupt Afghan Contractor Went Unpunished: Congressman
An Afghan contractor accused of running an illicit protection racket under a $2.16 billion trucking contract got a “slap on the wrist” when it was debarred from working on transportation security contracts for three years, Rep. John Tierney, D-Mass., said Thursday.
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September 16, 2011
Watson Exits Medicaid Drug Inflation MDL For $79M
Watson Pharmaceuticals Inc. on Wednesday agreed to pay $79 million to settle part of a Massachusetts multidistrict litigation accusing it and other pharmaceutical companies of overcharging Medicaid by reporting inflated drug values.
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September 16, 2011
Miami Man Gets 50 Years For Medicare Fraud
American Therapeutic Corp. owner Lawrence Duran was sentenced Friday to 50 years in prison and $87.5 million in restitution for scamming the government out of $205 million in fraudulent Medicare reimbursements for mental health services.
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September 16, 2011
9/11 Hero Gets Up To 3 Years For Taking Bribes
A man lauded as a hero after the 9/11 terrorist attacks was sentenced to one to three years in prison Friday in New York state court for accepting bribes from an asbestos removal company while working for the Port Authority of New York and New Jersey.
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September 16, 2011
Ex-Mass. House Speaker Asks To Delay Prison Date
A former top Massachusetts legislator convicted of accepting bribes to help score two software companies government contracts asked a federal judge Friday to delay his report date for an eight-year prison term while his attorneys work on an argument for bail pending appeal.
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September 16, 2011
US Risks Rocky Drawdown Of Iraq Contracts: GAO
The U.S. Department of Defense can do more to ensure the efficient demobilization of contractors and transition of contracts as part of the drawdown of U.S. forces in Iraq, a U.S. Government Accountability Office report revealed Friday.
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September 16, 2011
Partner Broke Pact In $380M Marines Body Armor Deal: Suit
Defense contractor Eagle Industries Unlimited Inc. alleged in a suit filed Thursday that its business partner KDH Defense Systems Inc. broke an agreement to split work on a $380 million contract to make body armor for the U.S. Marine Corps.
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September 16, 2011
Ex-Va. Lawmaker Must Report To Prison: Judge
A Virginia federal judge on Thursday ordered a former state legislator to begin serving 9 1/2 years in prison for trading state money for a job at Old Dominion University, denying a motion for release pending appeal.
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September 15, 2011
Feds Slam Bid To Nix Charges In Ohio Corruption Case
Federal prosecutors in Ohio this week fought a Cuyahoga County Auditor's Office employee's attempts to dismiss racketeering and honest services fraud charges tied to a broad probe of officials who allegedly pocketed kickbacks in exchange for county contracts.
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September 15, 2011
KBR Ranks Low In Defense Contractor Reputation Survey
Information technology contractors and European defense companies are among the defense contractors most likely to have poor reputations with military decision-makers, who also often have negative attitudes toward some individual contractors like KBR Inc. and General Atomics, a survey released Wednesday revealed.
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September 15, 2011
Treasury Probes $535M Loan To Doomed Solyndra
The U.S. Department of the Treasury’s inspector general on Thursday launched an investigation into a $535 million government loan to bankrupt Solyndra LLC, adding to the furor over the solar panel maker’s collapse.
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September 15, 2011
US To Speed Up Small Business Payments: White House
The White House Office of Management and Budget told federal agencies Wednesday to speed up their payments to small businesses for government contract work in order to stimulate job creation and economic growth.
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September 15, 2011
Alleged Atty Conflict Delays Ky. Medicaid Fraud Case
A federal judge in Kentucky on Thursday put discovery on hold in a Medicaid fraud suit against a nursing home until a disqualification issue involving defense counsel's previous work as a prosecutor is resolved.
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September 14, 2011
Ex-GE Execs Oppose Statute Review In Bid-Rigging Case
Three former GE Capital executives accused of rigging bids for municipal finance contracts asked a New York federal judge Tuesday to deny a request by prosecutors that he reconsider the length of the statute of limitations on some charges they face.