ALEXANDRIA, Va. – Obsidian Solutions Group, LLC (Obsidian), located in Fredericksburg, has agreed to pay $510,991.08 to settle allegations that it violated the False Claims Act by billing the Defense Intelligence Agency (DIA) for labor performed by personnel that did not meet contractual requirements.

Obsidian had a contract with DIA to provide strategic-level analytical support to advance national and Department of Defense (DOD) goals and objectives for protecting the DOD’s supply chain. The government alleged that Obsidian employed personnel who failed to meet the qualifications specified by the contract, either because the personnel lacked a required degree or the required years of relevant professional experience. As a result, according to the government’s allegations, DIA paid more for labor than could be justified by the personnel’s qualifications.

“To be scrupulous stewards of taxpayer funds, government contractors must comply with contractual requirements, particularly while continuing to charge the government for the costs associated with meeting the requirements,” said U.S. Attorney Jessica D. Aber. “EDVA will continue its work to safeguard the government procurement process.”

“Protecting the integrity of the Defense Intelligence Agency (DIA) procurement process is a top priority for the DIA Office of the Inspector General,” stated Assistant Inspector General for Investigations William B. Borden III, DIA OIG. “The Office of the Inspector General, DIA, will...

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