Oct. 21, 2021

Debarred Former Defense Contractor Pleads Guilty To Making False Statements Involving Government Contracts

Billy Micah Sermons (44, Jacksonville) has pleaded guilty to making a false statement to the U.S. General Services Administration (GSA), a federal agency. Sermons faces a maximum penalty of five years in federal prison and payment of restitution to the federal government. A sentencing date has not yet been set. According to the plea agreement, in May 2015, the Defense Contract Management Agency (DCMA) began investigating the business practices of Excel Components, LLC, a business involving Sermons and others. Excel conducted business with the federal government by contracting with the Defense Logistics Agency (DLA). These contracts involved supplying various items to be used by members of the United States military throughout the Department of Defense. As a result of their investigation, in September 2015, DLA debarred Sermons from contracting with the federal government due to his involvement with Excel and another business contracting with DLA, East Coast Machine and Tool LLC. DLA debarred Sermons until August 19, 2018.

Oct. 20, 2021

United States reaches a $1.25 Million Settlement with South Carolina Family Practice Clinics for Billing Unnecessary Services to Federal Health Programs

Acting United States Attorney M. Rhett DeHart announced today that Colonial Family Practice, LLC, a physician owned primary and urgent care practice with multiple clinics in South Carolina, has agreed to a $1.25 million settlement to resolve allegations that it violated the False Claims Act by billing Medicare, Medicaid, and TRICARE for medically unnecessary services.

Oct. 19, 2021

Military Supplier to Pay $850,000 to Settle Breach of Contract and False Claims Act Allegations

A supplier of vehicle parts to the military has agreed to pay $850,000 to resolve allegations that it breached contracts with the United States and violated the False Claims Act by selling items that were manufactured in prohibited countries, Acting U.S. Attorney Rachael A. Honig announced today.

Oct. 18, 2021

Former Security Services Executives Plead Guilty to Rigging Bids for Department of Defense Security Contracts

Two former employees of G4S Secure Solutions NV (G4S NV), pleaded guilty today to criminal antitrust charges stemming from their involvement in a conspiracy to rig bids, fix prices, and allocate customers for defense-related security services contracts. Both defendants are Belgian nationals residing in Belgium.

Oct. 18, 2021

CEO of Major Defense Contractor Charged with Bribery

The chief executive officer (CEO) of Multinational Logistics Services (MLS}, a large ship husbanding company that has received over $1 billion in U.S. Navy contracts since 2010, appeared in the United States today to face a criminal charge for his alleged participation in a bribery scheme.

Oct. 18, 2021

DOJ and CEO of defunct medical testing laboratory settle False Claims Act and Anti-Kickback Statute civil case

A False Claims Act/Anti-Kickback Statute civil matter was resolved today with an agreed $1.1 million payment by the former Chief Executive Officer of a now defunct medical testing lab, announced U.S. Attorney Nicholas W. Brown. Jae Lee, 50, of Bellevue, Washington, served as the CEO of Northwest Physicians Laboratory (NWPL) from January 1, 2013, until July 30, 2015. Lee has agreed to pay $500,000 within 30 days of the settlement agreement, with additional payments annually until full payment is made.

Oct. 14, 2021

U.S. Attorney Announces Four Additional Enforcement Actions as Part of Data-Driven National Effort to Combat P-Stim Fraud Scheme and Recover Millions

Acting United States Attorney Jennifer Arbittier Williams announced three settlements and the filing of a complaint under the False Claims Act in the Eastern District of Pennsylvania. These are the latest actions in the national investigation into the scheme of improper billing involving P-Stim electroacupuncture devices. P-Stim is also branded as, among other things, ANSiStim, Stivax, NeuroStim, and NSS-2 Bridge.

Oct. 13, 2021

Connecticut Employment Contractor Pays $600K to Resolve Federal False Claims Act Allegations

The United States Attorney's Office today announced that it has entered into a settlement agreement with New Britain-based CW Resources Inc. to resolve allegations that CW Resources submitted claims that falsely certified compliance with program requirements and failed to maintain adequate medical documentation of significantly disabled employees pursuant to the AbilityOne Program.

Oct. 13, 2021

Lawrence Man Sentenced for Defense Contracting Fraud

A Lawrence man was sentenced yesterday in connection with a scheme to defraud the U.S. Navy relating to glove liners purchased for use on nuclear submarines.

Oct. 6, 2021

Crane company agrees to pay more than $4.5M to resolve lawsuit for non-compliance with Military Specifications

Crane Company has agreed to pay to the United States to resolve allegations it violated the False Claims Act (FCA) by failing to comply with Military Specification (Mil Spec) Mil-V 24624 for certain high performance butterfly valves and requirements for inclusion on the Qualified Products List (QPL) where the valves appeared. The valves were supplied for use in U.S. Navy ships.