DynCorp Hit With $150M Fraud Suit For Northrop Subcontract

Law360, New York (August 14, 2014, 4:04 PM EDT) -- DynCorp International Inc. has been hit with a $150 million False Claims Act suit by two employees accusing it of fraudulently overcharging for labor under a Northrop Grumman Corp. subcontract to a U.S. Army contract in Afghanistan, according to a complaint unsealed Wednesday.

DynCorp allegedly hired unqualified employees and paid them wages well below fixed contractual rates under a subcontract with Northrop, yet billed for their work at the fixed rates in an effort to reap millions in illicit profits, according to the complaint originally filed...
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