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Student Loan Collectors Accused In $100M Contracting Plot

Law360 (April 12, 2019, 8:55 PM EDT) -- Nearly a dozen private student loan collectors have defrauded the federal government of more than $100 million through a long-running contracting scheme, a whistleblower has alleged in a False Claims Act suit.

PCA Integrity Associates LLP accused several large companies of either posing as small businesses to win subcontracts or knowingly hiring subcontractors who lied about being small businesses, according to an amended complaint recently filed in D.C. federal court.

PCA also said the large companies duped the U.S. Department of Education into awarding contracts and shelling out bonuses they didn’t deserve. Under the deals, the contractors received incentives for subcontracting...

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District Of Columbia

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False Claims Act

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Date Filed

May 20, 2015

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