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Archive for the ‘Defense Industry’ Category
Friday, November 20th, 2009
The US Department of Justice filed a lawsuit under the False Claims Act against defense contractor Kaman Dayron, Inc. for allegedly substituting non-conforming parts in sophisticated ignition devices supplied in “bunker buster” bombs. The lawsuit contends that Kaman Dayron knowingly substituted non-conforming parts that might cause the ignition devices to fire prematurely, causing warhead misfires.
The case is being prosecuted under the National Procurement Fraud Initiative, which was created in 2006 to promote the early detection and prosecution of procurement fraud in government contracting for national security.
More information can be found at the following link: http://www.earthtimes.org/articles/show/united-states-sues-kaman-dayron-inc-under-false-claims-act,1033336.shtml
Posted in Defense Industry, Federal False Claims Act, Government Contracts | No Comments »
Friday, November 20th, 2009
The US Department of Justice sued a seller of bullet-proof vests, and several of manufacturers of component parts of the vests under the False Claims Act claiming that the vests were defective. The DOJ sued Lincoln Fabrics, Ltd. of Canada and its American subsidiary, Toyobo Co., Honeywell International, Inc. and others, The DOJ claimed that not only did the woven fabric, known as Zylon, degrade quickly over time, and particularly in hot and humid weather, but that the manufacturers were aware of the defect.
More information about the lawsuit can be found here: http://www.upi.com/Busines_News/2009/10/31/Us-sues-Canadian-firm-over-bullet-vests/UPI-12481257016735/
Posted in Defense Industry, Federal False Claims Act | No Comments »
Thursday, October 29th, 2009
The Government Accountability Office has reported that the the Army deviated from established standards in testing conducted last year of ballistic vests that contain hardened ceramic plates that protect the upper bodies of soldiers from enemy bullets and shrapnel. The audit recommends pulling 33,000 ceramic plates from the Army’s inventory of nearly 2 million. While the Army disagrees with the report and notes that no U.S. troops have been killed in Iraq or Afghanistan due to failure of body armor, the Army voluntarily pulled the recommended 33,000 plates.
Testing of body armor is rigorous at the design stage. However, once the product enters full production by the government contractor, sample items are taken from each production batch and shot at on ranges to determine if the batch is up to the production standards. The greatest departure in testing procedure, as noted by the GAO, is the measurement of the amount of force a plate can withstand. The indentation left in the plate following a test fire demonstrates the amount of blunt force trauma to the soldier.
To view the full article, as reported by the Associated Press, visit: http://www.cbsnews.com/stories/2009/10/16/national/main5388988.shtml
Tags: ballistic vests, body armor tests, Government Accountability Office
Posted in Defense Industry, Federal False Claims Act | No Comments »
Tuesday, October 6th, 2009
The Government Accountability Office (”GAO”) recently issued a report finding widespread problems with the quality of audits conducted by the Defense Contract Audit Agency (”DCAA”). The DCAA under the Department of Defense (DOD) Comptroller plays a critical role in defense contractor oversight by providing auditing, accounting, and financial advisory services in connection with DOD and other federal agency contracts and subcontracts.
Last year, GAO found numerous problems with DCAA audit quality at three locations in California, including the failure to meet professional auditing standards. In this latest report, GAO found audit quality problems at DCAA offices nationwide, including compromise of auditor independence, insufficient audit testing, and inadequate planning and supervision. GAO found DCAA’s management environment and quality assurance structure were based on a production-oriented mission that put DCAA in the role of facilitating DOD contracting without also protecting the public interest.
To address these system-wide problems at DCAA, the GAO made a number recommendations ranging from possible Congressional action to 15 suggested changes at the DCAA that could be implemented by, or through, the Secretary of Defense.
A copy of the GAO Report, 09-468, can be viewed on the Internet at http://www.gao.gov/new.items/d09468.pdf
Posted in Defense Industry, Government Contracts, Investigations | No Comments »
Monday, October 5th, 2009
Welcome to the False Claims Act – Whistleblowers Blog. The Federal and State Governments spend trillions of dollars each year to fund a wide variety of programs and to purchase vast amounts of goods and services. Some of the larger government programs include: Medicare, Medicaid, Department of Defense-Military Spending, the Troubled Assets Relief Program (”TARP”), Federal Emergency Management Agency (”FEMA”) Spending, Department of Education Grants; Department of Energy Grants and Mining and Gas Royalties; and General Services Administration (”GSA”) Spending.
Each of these government programs is a frequent target for fraudulent schemes and false claims. The Government does not have the resources necessary to protect every dollar of taxpayer spending. The Government has come to rely upon Whistleblowers, often referred to as “Qui Tam Relators,” to blow-the-whistle on businesses and individuals who attempt to defraud the Government.
This blog is devoted to providing information and resources to those interested in: whistleblowers; fraud by government contractors; the Federal False Claims Act; State False Claims Acts; Government Investigations; Qui Tam Actions; Qui Tam Relators; Pharmaceutical Industry Fraud; Defense Contracting Fraud; Healthcare Fraud; Financial Industry Fraud; Construction Industry Fraud; Energy Industry Fraud; Grant Fraud; Disaster Recovery Fraud; and Government Procurement Fraud.
We welcome you to this Blog, and hope that you find the information and resources useful and enlightening.
Posted in Construction, Defense Industry, Federal False Claims Act, Financial Industry, Government Contracts, Healthcare, Investigations, Pharmaceuticals, State False Claims Acts | No Comments »
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