Overseas Civilian Contractors

News and issues relating to Civilian Contractors working Overseas

United States Sues Virginia-based Contractor Triple Canopy for False Claims Under Contract for Security in Iraq

Allegedly Billed US for Security Guards Who Did Not Meet Contract Requirements

Contractor Faked Guard Weapon Tests In Iraq, US Says

Department of Justice  October 31, 2012

The United States has filed a complaint against a Virginia-based contractor alleging that the company submitted false claims for unqualified security guards under a contract to provide security in Iraq, the Justice Department announced today. The company, Triple Canopy Inc. is headquartered in Reston, Va.

In June 2009, the Joint Contracting Command in Iraq/Afghanistan (JCC-I/A) awarded Triple Canopy a one-year, $10 million contract to perform a variety of security services at Al Asad Airbase – the second largest air base in Iraq. The multi-national JCC-I/A was established by U.S. Central Command in November 2004, to provide contracting support related to the government’s relief and reconstruction efforts in Iraq.

The government’s complaint alleges that Triple Canopy knowingly billed the United States for hundreds of foreign nationals it hired as security guards who could not meet firearms proficiency tests established by the Army and required under the contract. The tests ensure that security guards hired to protect U.S. and allied personnel are capable of firing their AK-47 assault rifles and other weapons safely and accurately. The government also alleges that Triple Canopy’s managers in Iraq falsified test scorecards as a cover up to induce the government to pay for the unqualified guards, and that Triple Canopy continued to bill the government even after high-level officials at the company’s headquarters had been alerted to the misconduct. The complaint further alleges that Triple Canopy used the false qualification records in an attempt to persuade the JCC-I/A to award the company a second year of security work at the Al Asad Airbase.

“For a government contractor to knowingly provide deficient security services, as is alleged in this case, is unthinkable, especially in war time,” said Stuart F. Delery, Acting Assistant Attorney General for the Civil Division of the Department of Justice. “The department will do everything it can to ensure that contractors comply with critical contract requirements and that contractors who don’t comply aren’t permitted to profit at the expense of our men and women in uniform and the taxpayers at home who support them.”

“We will not tolerate government contractors anywhere in the world who seek to defraud the United States through deliberate or reckless conduct that violates contractual requirements and risks the security of government personnel,” said Neil H. MacBride, U.S. Attorney for the Eastern District of Virginia.

The government’s claims are based on a whistleblower suit initially filed by a former employee of Triple Canopy in 2011. The suit was filed under the qui tam, or whistleblower, provision of the False Claims Act, which allows private persons to file suit on behalf of the United States. Under the act, the government has a period of time to investigate the allegations and decide whether to intervene in the action or to decline intervention and allow the whistleblower to go forward alone.

This matter was investigated by the U.S. Attorney’s Office for the Eastern District of Virginia; the Commercial Litigation Branch of the Justice Department’s Civil Division; and the Army Criminal Investigative Command (CID) and Defense Criminal Investigative Service (DCIS) of the Department of Defense.

The claims asserted against Triple Canopy are allegations only; there has been no determination of liability. The government is not aware of any injuries that occurred as a result of the alleged misconduct.

The lawsuit was filed in the U.S. District Court for the Eastern District of Virginia in Alexandria, and is captioned United States ex rel. Badr v. Triple Canopy, Inc.

November 1, 2012 Posted by | Civilian Contractors, Contractor Oversight, Department of Defense, Government Contractor, Iraq, Lawsuits, Private Security Contractor, Safety and Security Issues, Vetting Employees, Whistleblower | , , , , , , , | 1 Comment

$8.7 Million Settlement Reached in Iraq Contractor Whistleblower Suit

At Blog of the Legal Times  April 22, 2011

The U.S. Department of Justice announced this afternoon that it has settled a whistleblower lawsuit against two companies under contract with the U.S. Department of State.

DynCorp International LLC and its subcontractor, The Sandi Group (TSG), were sued by two former TSG employees in a qui tam lawsuit under the federal False Claims Act.

In the settlement, DynCorp will pay $7.7 million and TSG will pay $1.01 million, according to the DOJ release. The two former TSG employees will also receive a share up to $481,710.

A copy of the lawsuit filed against the two companies was not immediately available this afternoon, but according to the DOJ release, DynCorp was accused of inflating claims made to the government for construction costs, while TSG was accused of seeking reimbursement for danger pay that it had never actually paid out to U.S. employees working in Iraq.

“The hard work of stabilizing Iraq is challenging enough without contractors and subcontractors inflating the cost of rebuilding by making false claims at taxpayers’ expense,” Tony West, Assistant Attorney General for the Civil Division, said in the DOJ release. “This case demonstrates that the Department of Justice will pursue these cases that undermine the integrity of our public contracting process.”

Stuart Bowen Jr., the Special Inspector General for Iraq Reconstruction said in a statement that “false claims filed by contractors have been a problem in Iraq.”

April 22, 2011 Posted by | Civilian Contractors, Contractor Corruption, Contractor Oversight, Iraq, SIGIR, Whistleblower | , , , , , , | Leave a comment