WASHINGTON (Reuters) -Rocket engine maker Aerojet Rocketdyne has agreed to pay $9 million to resolve allegations it misrepresented its compliance with cybersecurity requirements in federal government contracts, the U.S. Justice Department said on Friday https://www.justice.gov/opa/pr/aerojet-rocketdyne-agrees-pay-9-million-resolve-false-claims-act-allegations-cybersecurity.
Aerojet provides propulsion and power systems for launch vehicles, missiles and satellites and other space vehicles to the Pentagon, NASA and other federal agencies, the Justice Department said.
The settlement resolves a 2015 lawsuit filed by former Aerojet employee Brian Markus under the whistleblower provisions of the False Claims Act.
Markus and Aerojet reached a settlement of the case on the second day of trial in April, the Justice Department said. He will receive $2.61 million as his share of the settlement. The settlement was approved on July 5 by a U.S. District Court in California.
A court filing from Markus said between July 2013 and September 2015, Aerojet received over $2.6 billion in government funds by "fraudulently procuring" Defense Department and National Aeronautics and Space Administration (NASA) contracts that were "essential components of America’s national defense and aerospace programs" by falsely representing it complied with cybersecurity regulations.
After a 2013 cyberattack, Aerojet hired Markus as a senior cyber security official but Markus said he did not have the budget or...
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