Leo Tolstoy famously began his 1877 novel Anna Karenina with the observation, “All happy families are alike; each unhappy family is unhappy in its own way.” Much the same could be said of government contractors that find themselves in hot water relating to false claims. Two recent settlements by government contractors remind us that there
Helping individuals, companies, and organizations understand key legal and practical considerations for promoting compliance and making better business decisions in these types of federal, state, and local government contracting matters MORE
Fraud, False Claims, and False Statements
SBA Office of Inspector General Issues Management Report Advising of Fraud And Seeking Further SBA Oversight of COVID-19 Loans and Advances
By Roddy Stieger on
On July 28, 2020, the Office of Inspector General (OIG) issued a Management Alert raising concerns of potential fraud relating to the Small Business Administration (SBA) Economic Injury Disaster Loan and Advance grant programs. The OIG reported receiving more than 5,000 complaints of suspected incidents of fraud from financial institutions that had received the economic…
Federal Contractors’ Compliance Responsibilities Just Got Easier, or Did They?
By Eric Whytsell & Susan Ebner on
On July 14, 2020, the Federal Acquisition Regulatory (FAR) Council issued an interim final rule intended to clarify the scope and application of the requirements set forth in Section 889(a)(1)(B) of the FY2019 National Defense Authorization Act (FY19 NDAA). The rule’s release comes after months of eager anticipation by—and almost apocalyptic warnings from—a wide variety…
Expeditious Crackdowns on COVID-Relief Fraud
By Pete Schwingler on
In the span of mere days, the Department of Justice (DOJ) arrested and charged numerous individuals from Virginia, Massachusetts, Texas, and Ohio, alleging that they fraudulently sought Paycheck Protection Program (PPP) loans under the Coronavirus Aid, Relief, and Economic Security (CARES) Act.
At John F. Kennedy Airport, a Virginia couple was arrested on June 20…
Beware Rogue Employees with a Taste for Fraud
By Eric Whytsell on
As if more evidence were needed, a recent Department of Justice (DOJ) indictment provides another reminder of the importance of an effective compliance program—and the potential costs to contractors if their program doesn’t prevent fraudulent actions by individual employees.
Last week, the DOJ announced it has entered into a non-prosecution agreement (NPA) with Alutiiq International…