Fort Belvoir, Va. –
L3 Technologies, Inc., Communication Systems West, a Utah-based manufacturer of communications equipment for military systems, agreed to pay $21.8 million to resolve allegations that it violated the False Claims Act by knowingly proposing the cost of certain parts twice to the DoD.
From approximately 2008 to 2011, L3 submitted, and the Department of Defense accepted, dozens of contract proposals for a handheld receiver and a compact transceiver, which operate together to provide real-time, full-motion video and other crucial data from the battlefield. The contract proposals included the cost of low-cost common-stock items, such as nuts and bolts, twice. As a result, the United States alleged that L3 knowingly double-charged the government for these parts.
DCAA Operations Investigative Support (OIS) was an integral member of the investigative team that reviewed financial records to determine the impact of the double claiming. This case was opened in March 2012 by Roy Nelson, Senior Auditor, and Jeff C. Beck, Supervisory Auditor, who reviewed proposal documents and invoice history to identify the proposed part costs and prepared a projected damage analysis for the Department of Justice.
Read the full Department of Justice press release.