Contractors dish out $12M to settle alleged False Claim Act violations

Two companies – NetCracker Technology Corp. and Computer Sciences Corp. – have agreed to pay over $12 million to resolve accusations that they violated the False Claims Act.

The two companies implemented software that used to help manage the telecommunications network used by the Defense Department, FCW referenced a Justice Department statement as saying.

NetCracker allegedly used employees who lacked security clearances to perform work on a military system when it knew the contract required those individuals to have a clearance, which resulted in CSC submitting false claims for payment to DISA.

A whistleblower discovered that the companies used Russian computer programmers to write software for the U.S. military project, which put the Pentagon’s communications systems at risk of a cyberattack.

NetCracker is paying $11.4 million—CSC, $1.35 million—to settle the claims.

Reader Comments

Please post your comments here. Comments are moderated, so they may not appear immediately after submitting. We will not post comments that we consider abusive or off-topic.

Please type the letters/numbers you see above

What is your e-mail address?

My e-mail address is:

Do you have a password?

Forgot your password? Click here


  • Dive into our Contract Award database

    In an exclusive for WT Insider members, we are collecting all of the contract awards we cover into a database that you can sort by contractor, agency, value and other parameters. You can also download it into a spreadsheet. Our databases track awards back to 2013. Read More

  • Navigating the trends and issues of 2016 Nick Wakeman

    In our latest WT Insider Report, we pull together our best advice, insights and reporting on the trends and issues that will shape the market in 2016 and beyond. Read More

contracts DB

Washington Technology Daily

Sign up for our newsletter.

Terms and Privacy Policy consent

I agree to this site's Privacy Policy.