settlement | The Contracting Education Academy

May 26, 2015 By AMK

Justice Dept. gets $9M back from bankrupt vendor

The federal government is exacting a little payback from Global Computer Enterprises in the form of a False Claims Act settlement.

After GCE applied for bankruptcy protection under Chapter 11 in September, the Labor Department and the General Services Administration had to pay the company $23 million to get access to financial systems and data.

Now the Justice Department is collecting $9 million back after GCE and its owner Raed Muslimani agreed to settle charges brought against them.

DoJ said in a May 7 press release that GCE and Muslimani do not admit to any wrong doing, but agreed to pay the $9 million fine.

Justice brought up charges against GCE and Muslimani claiming the company “misrepresented and/or concealed that it was utilizing engineers and other employees who were expressly prohibited from working on the contracts due to their citizenship/immigration statuses,” in contracts with Labor, the Equal Employment Opportunity Commission (EEOC), GSA, the Secret Service and the Coast Guard.

Keep reading this article at: http://www.federalnewsradio.com/130/3855194/Justice-gets-9M-back-from-bankrupt-vendor-GCE

April 14, 2014 By AMK

GAO: USDA improperly awarded $141 million sole source contract

The U.S. Department of Agriculture improperly awarded a $141 million sole source contract in exchange for the contractor’s agreement to withdraw a GAO bid protest.

According to a recent GAO bid protest decision, the award violated the Competition in Contracting Act, which does not permit an agency to award a sole source contract in exchange for a contractor’s promise to terminate litigation against the agency.

The GAO’s decision in Coulson Aviation (USA), Inc., et al., B-409356.2 et al.(Mar. 31, 2014) involved the USDA’s procurement of next generation (“NextGen”) large airtanker services for wildland firefighting support. The Air Force initially issued a solicitation for the NextGen airtanker services in 2011. After corrective action taken in response to a GAO bid protest, the USDA awarded NextGen contracts to four companies. Neptune Aviation Services, Inc., which had initially been identified as an awardee before the protest, was not awarded a NextGen contract.

Keep reading this article at: http://smallgovcon.com/gaobidprotests/gao-usda-improperly-awarded-141-million-sole-source-contract/

September 13, 2012 By AMK

Defense contractor pays $1.15M over bid allegation

A Colorado defense contractor has agreed to pay $1.15 million to settle allegations that it improperly got information about a competitor’s bid for two contracts for the top-secret National Reconnaissance Office, federal prosecutors said Tuesday.

Paragon Dynamics Inc., of the Denver suburb of Aurora, was accused of getting copies of bid information from Raytheon Corp., another defense contractor.

Prosecutors claimed a Paragon employee who had access to a Raytheon facility in Aurora stole drafts of Raytheon’s proposals and faxed them to the president of Paragon. The president then sent the information to another corporation that was combining with Paragon to bid on a contract, prosecutors said.

Keep reading this article at: http://www.cbsnews.com/8301-505245_162-57506183/defense-contractor-pays-$1.15m-over-bid-allegation/

The federal government is exacting a little payback from Global Computer Enterprises in the form of a False Claims Act settlement.

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