BOSTON, March 26, 2025 /PRNewswire/ -- Whistleblower Law Collaborative LLC is pleased to announce that the United States has settled a False Claims Act case brought by one of its clients. Under the terms of the settlement, MORSECORP, Inc. will pay $4.6 million, plus interest, to resolve allegations that it made false representations concerning compliance with required cybersecurity controls for safeguarding sensitive government information. This settlement is particularly notable because it represents the first major False Claims Act settlement with a defense contractor based on failures to implement required cybersecurity controls.
MORSECORP d/b/a MORSE (Mission Oriented Rapid Solution Engineering), which is based in Cambridge, Massachusetts, is a defense contractor in the U.S. National Security Ecosystem. MORSE performed multiple contracts for the Department of the Army and the Department of the Air Force, among other government customers.
Our Client's Lawsuit Reveals the Cybersecurity Failures
The case was brought by our client in January 2023 based on his concerns that MORSECORP had not fully implemented cybersecurity controls required under NIST SP 800-171 for protecting sensitive government data and information. Our client was also concerned that MORSECORP did not have a consolidated system security plan and that MORSECORP was using third-party cloud-based services that did not meet the relevant Federal security requirements. In addition, our client was concerned...
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