debar | The Contracting Education Academy

November 15, 2019 By cs

Agencies are relying more on alternatives to contractor suspension and debarment

Annual report shows that exclusions from doing business with the government have decreased in recent years, yet are still up from 2009.

The number of contractor suspensions and debarments in fiscal 2018 was nearly double that of 2009, when an interagency committee started formally tracking them, but federal agencies are also increasingly relying on alternative measures to resolve disputes, according to a new report.

In fiscal 2018, agencies surveyed by the Interagency Suspension and Debarment Committee reported 480 suspensions (temporary exclusions when an investigation is ongoing), 1,542 proposed debarments and 1,334 debarments (exclusions for a set period of time after an investigation or legal proceedings against a contractor), according to the committee’s annual report released Tuesday. This is about twice the activity level reported in fiscal 2009. However, since fiscal 2014, the number of suspensions and debarments has been decreasing.

Keep reading this article at: https://www.govexec.com/oversight/2019/11/agencies-are-relying-more-alternatives-contractor-suspension-and-debarment/161157/

August 15, 2018 By AMK

Millions flow to Pentagon’s banned contractors via a back door

Some of the world’s largest companies have benefited from a little-known law that lets the Defense Department override decisions barring contractors accused or convicted of bribery, fraud, theft, and other crimes from doing business with the government.

International Business Machines Corp., Boeing Co., BP Plc, and several other contractors have received special dispensation to fulfill multimillion-dollar government contracts through “compelling reason determinations.” That process allows the Defense Department in rare cases to determine that the need to fulfill certain contracts justifies doing business with companies that have been suspended from government work.

The 22 determinations were released by the General Services Administration at the request of Bloomberg Government, allowing for the first collective examination of the cases and the system that allowed them.

The determinations, also referred to as waivers or overrides, included contracts to provide food services for Defense Department personnel at an Army base in Afghanistan, “vital” web-hosting services for an agency that serves the Pentagon and the U.S. intelligence community, and aviation fuel sold to the Defense Logistics Agency.

Keep reading this article at: https://about.bgov.com/blog/millions-flow-pentagons-banned-contractors-via-back-door/

See further analysis at: https://www.forbes.com/sites/charlestiefer/2018/08/05/study-of-waivers-of-federal-contractor-debarments-leads-to-review-of-major-criminal-charges/#654bac3c6ac3

October 12, 2017 By AMK

GSA decision to debar contractor is overruled after judge calls it ‘arbitrary and capricious’

The former government contractor who was busted for hacking into a non-federal competitor’s network is back.

Ariel Friedler, the founder and former CEO of Symplicity Corp. — a government contractor who had run FedBizOpps.gov and other contracting platforms for much of the 2000s — won a significant suspension and debarment decision in the Washington D.C. District Court.

The court ruled that the General Services Administration (GSA) unfairly debarred Friedler in 2015 because GSA did not give him notice of all of the grounds for his debarment and an opportunity to respond to each of them prior to the agency’s final debarment determination.

The court ruled that GSA “relied on Friedler’s alleged post-conviction conduct in reaching the conclusion that he should be debarred but failed to notify him of these purported violations — a failure that is unquestionably improper under the applicable provisions of the Federal Acquisition Regulation. And because this court cannot reasonably find that [GSA] would have debarred Friedler on the basis of his criminal conviction alone, the court cannot conclude that the agency’s error in relying on the two additional grounds without providing notice was harmless.”

Keep reading this article at: https://federalnewsradio.com/reporters-notebook-jason-miller/2017/10/gsa-decision-to-debar-contractor-is-overruled-after-judge-calls-it-arbitrary-and-capricious/

December 29, 2015 By AMK

Suspension and debarment: A new approach

Contractors and government contracts attorneys are likely to see — if they haven’t already — a rise in the number of cases in which individuals, rather than corporate entities, are targeted by government officials for suspension and debarment.

This is significant because, under the Federal Acquisition Regulation (FAR), the misconduct of an individual can be imputed to the contractor, causing the contractor to lose its ability to receive federal contracts.

Attention to the misconduct of individuals was encouraged by a September 9, 2015 memorandum from Deputy Attorney General Sally Yates entitled “Individual Accountability for Corporate Wrongdoing.” The memorandum instructs government officials “consistently” to “focus on individuals” throughout an investigation. Ms. Yates followed up her memorandum with remarks prepared for a conference held November 16, 2015 in Washington, D.C., in which she stated that the memorandum ushers in “a new policy designed to ensure that individual accountability is at the heart of [the government’s] corporate enforcement strategy.”

Keep reading this article at: http://www.mondaq.com/article.asp?articleid=447276

See FAR Subpart 9.4 on the subject of Debarment, Suspension and Ineligibility here: https://www.acquisition.gov/sites/default/files/current/far/html/Subpart%209_4.html

January 30, 2015 By AMK

Air Force suspends, begins debarment process of reverse-auctioneer FedBid

The Air Force has suspended FedBid from federal procurement activity, both new contracts and follow-ons, as of Jan. 26, 2015 and proposed the reverse auction company for debarment.

FedBid’s listing in the System for Award Management (SAM) says the Air Force suspended and is proposing debarment with proceedings pending.

The Air Force wrote in the listing on SAM that it deemed FedBid ineligible for new contracts or follow-on deals “based upon adequate evidence of conduct indicating a lack of business honesty or integrity, or a lack of business integrity, or regulation, statute, executive order or other legal authority, pending completion of an investigation and/or legal proceedings.”

“As promised in our previous reporting on VA’s contracting and relationship with FedBid, the OIG referred FedBid to the Interagency Suspension and Debarment Committee for an independent decision whether the company should be debarred. Through the Committee’s processes the Department of the Air Force agreed to be the lead agency,” said an VA OIG spokesperson in an email to Federal News Radio.

Keep reading this article at: http://www.federalnewsradio.com/395/3789803/Air-Force-suspends-begins-debarment-process-of-FedBid–

Annual report shows that exclusions from doing business with the government have decreased in recent years, yet are still up from 2009.

Some of the world’s largest companies have benefited from a little-known law that lets the Defense Department override decisions barring contractors accused or convicted of bribery, fraud, theft, and other crimes from doing business with the government.

The former government contractor who was busted for hacking into a non-federal competitor’s network is back.

Contractors and government contracts attorneys are likely to see — if they haven’t already — a rise in the number of cases in which individuals, rather than corporate entities, are targeted by government officials for suspension and debarment.

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