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A ruling last week from a Houston federal court paved the way for a group of qui tam whistleblowers to continue most of their battle against a private defense contractor that allegedly defrauded the federal government of more than $100 million during the Afghan War.
In a 12-page order, U.S. District Judge Alfred H. Bennett ruled that the plaintiffs’ second amended complaint “sufficiently alleges” charges under the False Claims Act that the defendants, Dallas-based AECOM (NYSE: ACM) and affiliate McNeil Technologies, violated their government contract by failing to provide services they billed for. But the judge ruled the plaintiffs did “not plausibly allege” in their complaint that AECOM billed the government for “supplies defendants did not actually procure,” tossing that aspect of the case.
The plaintiffs are a group of 10 former AECOM employees who provided support to the U.S. military in Afghanistan and include a former U.S. Navy Seal, veterans of the U.S. Marine Corps and U.S. Army and individuals who have prior law enforcement and overseas contracting experience.
AECOM announced the relocation of its headquarters to North Texas in August.
Barring any appellate hurdles, Smyser Kaplan & Veselka partner Justin Waggoner, who represents the plaintiffs, told The Texas Lawbook that Bennett’s ruling will help discovery finally...
A front-page article with the byline of veteran New York Times opinion writer Nicholas Kristof is the latest poisonous example of what I call the NGO “halo effect.” Headlined “The Silence That Mee...