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Nov 13, 2021 by |

San Diego Whistleblower Attorney: Contractor Settles False Claims Act Case For $4.5 Million

ATTORNEY NEWSLETTER

Alleged Use Of Unapproved Components

Failure To Disclose Product Modifications

$855,728 Reward For Former Employee/Whistleblower

Any knowing violation of the terms of a government contract may violate the False Claims Act.  See False Claims Act (FCA), 31 U.S.C. §§ 3729 et seq.  Government contracts, particularly defense contracts, have very specific specifications for the component parts of any final product used by military personnel or forming part of any equipment or weapons.  Contractors may knowingly deviate from the specifications for finished goods in order to reduce costs and increase profits on the contracted job.  Individuals with knowledge of this kind of fraud may  bring an action (called a “qui tam” case) on behalf of the government for the fraud perpetrated against the government. Rewards for the individuals (referred to as “relators”) bringing the actions can equal 15-30% of the amount recovered.  31 U.S.C. § 3730(d).  If you have credible information for a false claims whistleblower case on behalf of the federal government in San Diego or elsewhere in California, call us today at (415)441-8669 and we can help. Our toll-free number is 1-888-50EVANS (888-503-8267).

Contractor Settles Allegations of False Claims

In one recently settled case,[1] a government contractor has agreed to pay $4,500,000 to resolve allegations that it violated the False Claims Act by failing to comply with specification for certain high performance butterfly valves used in U.S. Navy ships.  The settlement resolved specific allegations that for a period of six years the contractor supplied high performance butterfly valves to military ship builders that had not been approved for use by the Navy and failed to disclose modifications to those valves in violation of the government’s Qualified Product List (QPL).   The QPL governs the approval of products supplied in military contracts, and enumerates the specifications of any products listed on the QPL.  The whistleblower in the reported case was a former employee of the contractor.  She will receive $855,728 as a reward for bringing the qui tam case. 

Whistleblower Retaliation

In the reported case, an employee of the allegedly defrauding contractor blew the whistle on the fraud.  The False Claims Act prohibits retaliation against whistleblowing employees, but employers continue to retaliate against whistleblowers notwithstanding the prohibition.  Employees may, however, fight back if the employer retaliates against them. 31 U.S.C. § 3730(h).  Wrongfully discharged employees may be entitled to double back pay (with interest), reinstatement, reasonable attorneys’ fees, and reimbursement for certain costs in connection with the litigation. 31 U.S.C. § 3730(h)(2).  We can represent you in any action for retaliation as well as represent you in your underlying whistleblower application. 

Contact Us

Ingrid M. Evans can be reached at (415) 441-8669, or by email at <a href=”mailto:info@evanslaw.com”>info@evanslaw.com</a>.  Our toll-free number is 1-888-50EVANS (888-503-8267).  In addition to whistleblower cases under the FCA, Ingrid handles bank fraud whistleblower cases under FIRREA/FIAFEA, commodity trading and securities fraud under the Commodities Futures Trading Commission Whistleblower Program and the Securities and Exchange Commission Whistleblower Program, and tax fraud under the Internal Revenue Service Whistleblower Program. 

[1] Evans Law Firm, Inc. was not involved in the reported case in any way. The qui tam case is captioned U.S. ex rel. Jacobson v. Crane Co., No. 4:17-CV-01431 (S.D. Tex.). 

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