A whistleblower whose qui tam suit against Booz Allen led to a historic settlement is telling her whistleblower story after receiving a $70 million award.
Sarah Feinberg’s whistleblowing culminated in a settlement, announced on July 21, in which Booz Allen agreed to pay $377 million to settle charges that it violated the False Claims Act (FCA). The settlement is one of the largest procurement fraud settlements in history.
The FCA’s qui tam provisions enable private citizens to file lawsuits on behalf of the government if they know of an individual or company defrauding the government. Qui tam whistleblowers like Feinberg are eligible to receive between 15 and 30% of the government’s recovery.
In a new series of interviews with publications including The Washington Post and NBCNews, Feinberg recounts how she came to blow the whistle on Booz Allen and her thoughts on the historic settlement.
A former Marine who joined Booz Allen as a financial analyst, Feinberg claims she discovered that the company was billing the United States for costs that had no relationship to the underlying contracts.
“I discovered that our commercial and international practices were very unprofitable,” she told NBCNews. “And in order to keep the company profitable, they were passing those costs onto the U.S. government contracts.”
Feinberg initially thought this must be an oversight.
“I was very naïve at the time, and I thought that the reason people do the wrong thing is because they don’t know...
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