It’s not always easy to say something when you see something. But when you work in national security, it’s important to make sure that rules are followed as intended. When one former defense contractor thought her employer was lying about the completeness of its high-level security clearance background investigations, she reported it.
In her complaint, whistleblower Julie Reed accused federal contractor, KeyPoint Government Solutions, of misrepresenting its highest-level security clearance investigations, which she believes failed to meet strenuous government requirements. She described her growing concern, which she reported internally, that dozens of KeyPoint investigators were failing to report negative investigatory information — and that KeyPoint managers weren’t conducting reviews that would have caught such failures.
But following the litigation journey, Reed will now receive a 29% share of a payment to the U.S. government that resolves her claims that KeyPoint defrauded taxpayers and endangered national security by failing to conduct proper high-level security clearance investigations. The payout amount isn’t public. KeyPoint has also agreed to cover Reed’s legal fees.
KeyPoint has changed ownership several times since the original complaint; it is now called Peraton Risk Decision Inc. and is a subsidiary of Northern Virginia-based Peraton Inc. (owned by Veritas Capital). The long-running lawsuit included a two-year spell at the U.S. Court of Appeals for the Tenth...
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