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Showing posts from September, 2017

The Government files Complaint to Recover Millions of Grant Dollars it says the City of L.A. and CRA/LA Obtained Improperly

Sometimes alleged fraud and abuse occur on a much greater scale than that which is caused by private companies. This was proven to be the case when earlier this month, the Justice Department filed a complaint against the City of Los Angeles and the CRA/LA alleging that the two fraudulently obtained millions of dollars in housing grants from the U.S. Department of Housing and Urban Development (HUD) by falsely claiming that money was being spent in compliance with the government’s accessibility laws. The “complaint in intervention” replaces a complaint that was previously filed by a whistleblower. The complaint in intervention alleges that the city and CRA/LA received federal money by falsely promising to create accessible housing for the disabled. Instead of doing this, it is alleged that the two used the money to create inaccessible housing that actually deprived people with disabilities equal opportunity to housing of their choice. According to the complaint, the city of L.A. re

Huntington Ingalls Industries Inc. to Pay More than $9 Million to Settle False Allegations

Once again the government has proven that fraud and bribery are not victimless crimes. They impact taxpayers in every way. It proved this last week when it announced that Huntington Ingalls Industries (HII) – a defense contractor based in Newport, Virginia – has agreed to pay a $9.2 million settlement to resolve allegations that it violated the False Claims Act by deliberately overbilling for labor completed on U.S. Navy and Coast Guard ships. Under the settlement, HII will pay $7.9 million which will be combined with an earlier payment it made of $1.3 million. “Contractors that knowingly bill the government in violation of contract terms will face serious consequences,” said Acting Assistant Attorney General Chad A. Readler of the Justice Department’s Civil Division. “This settlement demonstrates, once again, that we will not tolerate defense contractors who falsely charge the armed forces or any agency of the United States.” The settlement resolves allegations that HII mischarged f