Defense contractor Booz Allen Hamilton has agreed to pay a $377 million settlement over allegations that it improperly charged the U.S. government over a 10-year period, the Justice Department announced Friday.
The consulting firm allegedly charged the government for indirect services provided to its non-government customers in the U.S. and abroad, the Justice Department said. The DOJ also alleged that the company obscured its accounting practices.
“Government contractors must turn square corners when billing the government for costs under government contracts,” said Principal Deputy Assistant Attorney General Brian M. Boynton, who heads the DOJ’s Civil Division.
He added, “Today’s settlement demonstrates our commitment to hold accountable contractors that knowingly overcharge the government and enrich themselves at the expense of the American taxpayers.”
The investigation was sparked by a whistleblower report from a former Booz Allen employee and covers alleged misconduct from 2011 to 2021. The whistleblower will receive nearly $70 million as a result of the settlement.
“This settlement, which is one of the largest procurement fraud settlements in history, demonstrates that the United States will pursue even the largest companies and the most complex matters where taxpayer funds are alleged to have been pilfered,” said U.S. Attorney for the...
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