Settlement resolves claims over false testing tied to Army uniforms.
In early February 2026, federal officials announced a $1.4 million settlement involving Insect Shield LLC, a North Carolina company, and the estate of one of its founders, Richard Lane. The agreement resolves claims that false information was given to the United States government in connection with contracts for Army uniforms. The case centers on whether required testing was properly done and honestly reported for clothing treated with an insect-repelling chemical used by soldiers.
Insect Shield worked as a subcontractor for companies that produced Army Combat Uniforms. These uniforms were treated with permethrin, a chemical meant to protect soldiers from insects that can spread disease. Under government contracts, strict testing rules applied to confirm that the chemical was added correctly and at safe levels. According to the government, those rules were not followed for several years.
Federal prosecutors alleged that between 2015 and 2021, Insect Shield and Richard Lane caused false claims to be submitted to the Department of Defense. The claims involved test results tied to the permethrin treatment process. Investigators said that results from different test rounds were mixed together, which made it harder to tell when and how the uniforms were actually tested. Some test samples were relabeled in ways that hid where they came from, and additional tests were run beyond what the contracts allowed....
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