Given the increase in government procurement fraud activity, in 2006, the National contract government procurement Fraud Task Force was formed to promote the early detection, identification, prevention, and prosecution of procurement contract fraud. Government contractors are more exposed to investigations and are finding themselves facing more criminal charges and jail time. The… Read more »
It is important to keep up with recent US FCPA cases so that you do not find yourself in a similar situation. In 2014 alone, the Securities and Exchange Commission (“SEC”) has charged major companies, such as Smith & Wesson and Hewlett-Packard, with violating the Foreign Corrupt Practices Act (“FCPA”). … Read more »
One of the most reviewed cases of a federal contractor defense to procurement fraud was Daewoo Eng’g & Constr.Co. v. United States, 73 Fed. Cl. 547, 597 (2006) where the Court of Federal Claims held that Daewoo had committed fraud under the Federal False Claims Act (FCA). The court awarded… Read more »
Government procurement fraud litigation has escalated over the past few years due to increased government oversight. A particular target of federal procurement law is the federal False Claims Act. 28 USC 2514. To prevail under section 2514, the government must “establish by clear and convincing evidence that the contractor knew that… Read more »
On the issue of continuing 8 (a) certification ans suspension due to business integrity issues, on August 14, 2013, the U.S. Small Business Administration (“SBA”) issued a Notice of Suspension to Wichita Tribal Enterprises, LLC (“WTE”). The SBA’s Notice of Suspension from the 8 (a) certification program said that WTE could… Read more »
Anti Kickback Statute Resolving Challenges of Fraud and Penalties The Federal Anti-Kickback Statute, cf. 42 USC1320a-7b(b), is a criminal law making it a felony to knowingly and willfully offer, pay, solicit, or receive remuneration, directly or indirectly, in order to induce business that is reimbursable under any federal healthcare program,… Read more »
The Federal False Claims Act 31 USC 3729 is used by federal law enforcement agents to investigate, charge and convict small businesses and large federal contractors. Learning to combat these charges up front is critical to avoiding criminal charges or hefty civil fines during false claims and qui tam litigation…. Read more »
When looking at the government contract process for submitting claims, or you decide to file claims against the federal government, there are certain best practices and approaches that you must adhere to. Failure to follow them can tempt the Contracting Officer (CO) to try to negotiate the actual amount downwards or it… Read more »
The Department of Justice, while enforcing statutory federal False Claims Act fines and penalties, obtained more than $4.7 billion in settlements and judgments from civil cases involving reporting fraud and false claims against the government in the fiscal year 2016 ending Sept. 30. See announcement here. Prime contractors and subcontractors… Read more »
On the issue of False Claims Act liability, there are varying opinions about the liability of the main contractor for a subcontractor. The bottom line is that both prime contractors and independent contractors can be liable under the Federal False Claims Act. The DOJ and various agency IG offices have… Read more »