Home > Types of Fraud > Defense Contractor Fraud
Defense contractor fraud is a common occurrence. It can take many forms, including non-compliance with specifications, the sale of defective products, product substitution, and cost-allocation and overbilling schemes. Defense procurement fraud can compromise people's lives and safety and can amount to significant monetary losses for taxpayers. Defense contracting fraud can affect all agencies, branches, and offices of the Department of Defense.
The False Claims Act's qui tam provisions incentivize whistleblowers to report military fraud. For example, a qui tam lawsuit brought by us on behalf of a whistleblower alleged that a national freight forwarder submitted fraudulent claims for payment to the Department of Defense for the shipment of freight. The case alleged that the company engaged in a pattern and practice of knowingly submitting false claims for payment by transporting freight wholly by surface transportation rather than by air, as required by Department of Defense regulations, and by misrepresenting the actual delivery dates of the freight. The company pleaded guilty to a felony and agreed to settle the matter for $28 million.
The first step in reporting defense contractor fraud is to talk to a qualified, experienced attorney, like the False Claims Act attorneys at Hodgson Russ. We will thoroughly discuss the facts of your potential case with you, reviewing the allegations and applicable law and conducting any necessary factual investigations with your participation. If you and we all decide to go forward with our representation of you and the report of defense contractor fraud, we will execute an engagement letter and draft a complaint and other case initiation documents.