March 14, 2014 — The U.S. Justice Department (“DOJ”) relies on tips from honest individuals about contractors that fail to abide by the terms of government contracts. When False Claims Act violations occur, the qui tam provisions of the statute give industry insiders the power to file a lawsuit for the benefit of the government. In return for their collaboration, whistleblowers share in the government’s proceeds.
False Claims Act Violations Alleged Against Company Mapping Military Convoy Routes in Iraq
A whistleblower lawsuit against Sanborn Map Company Inc. has been resolved with the Colorado company’s agreement to a $2.1 million settlement with the government. James Peterson, a former employee with Sanborn, had filed suit, alleging False Claims Act violations against the government contractor, which provides the U. S. Army Corps of Engineers with geographic information system services, including photogrammetric mapping. The amount of Peterson’s portion of the recovery has not been decided.
Between 2005 and 2011, Paterson alleged in his qui tam lawsuit, Sanborn entered into Army contracts to create maps for a variety of military and civil projects, such as maps for use by U.S. convoys in Iraq. In an alleged attempt to cut costs, Sanborn hired foreign subcontractors that had not received Army approval. Sanborn’s actions were in violation of the Army contracts and resulted in project delays. Although Sanborn was required under the contracts to perform its map work in-house, the DOJ has reported that the company also relied on unapproved domestic subcontractors. In addition, Sanborn is alleged to have billed the government for work that was unrelated to the company’s contracts with the Army.
Industry Insiders: First Line of Defense Against Government Contractor Fraud
Tipsters who notify the government about government contractor fraud should understand their own interests before stepping forward. The qui tam lawyers with Waters & Kraus provide informants with the legal representation they deserve. Contact us by email or phone our False Claims Act lawyers at 855.784.0268 to discuss how we can protect your rights as you file a qui tam lawsuit on the government’s behalf.
