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Friday, May 15, 2026

Aerojet Rocketdyne Cybersecurity Trial Could Be DOJ Bellweather - Bloomberg Law

On April 26, trial will begin in United States ex rel. Markus v. Aerojet Rocketdyne Inc., where relator Brian Markus, Aerojet’s former senior director of cybersecurity, alleges the company violated the False Claims Act (FCA) by concealing cybersecurity problems from the government.

When the Department of Justice declined to intervene in 2018, few would have predicted that Markus’ case would become a bellwether for a government initiative. But the Biden administration subsequently prioritized cybersecurity, and the DOJ’s new civil cyber-fraud initiative will pursue FCA theories that resemble Markus’ case and allegations.

This trial in the U.S. District Court for the Eastern District of California could thus establish a blueprint for the DOJ’s new initiative—or identify potential obstacles.

DOJ’s Civil Cyber-Fraud Initiative

In May 2021, a ransomware attack shut down an American oil pipeline system for six days. Federal and state governments had to take emergency measures to maintain the fuel supply to certain parts of the country. After the attack, President Biden issued an executive order directing improvements to cybersecurity...



Read Full Story: https://news.bloomberglaw.com/white-collar-and-criminal-law/aerojet-rocketdyn...