Schleifman Law, PLC Announces $12,890,000 False Claims Act Settlement

Posted on: October 30, 2015

ARLINGTON, October 30, 2015  — Schleifman Law, PLC announces the settlement of its client’s 4 ½-year long False Claims Act lawsuit filed in the United Stated District Court for the District of Columbia against NetCracker Technology Corp., a wholly owned subsidiary of NEC Corporation, and Computer Sciences Corporation.  The qui tam complaint was filed in March, 2011 and amended thereafter.  A copy of the Second Amended False Claims Act Complaint may be found at https://www.schleifmanlaw.com/wp-content/uploads/2015/10/Second-Amended-False-Claims-Act-Complaint.pdf

NetCracker Technology Corp. has agreed to pay the Federal Government $11.4 Million to resolve allegations that it improperly billed the United States for work done as a subcontractor on a contract between the Defense Information Systems Agency and Computer Sciences Corporation.  Specifically, the relator alleged NetCracker Technology Corp., in violation of its contractual obligations to use U.S. citizens with security clearances to create code at secured locations, used foreign nationals without the required security clearances outside of the United States to create the code which was then uploaded onto U.S. Government computer networks.  NetCracker Technology Corp. has also agreed to pay the relator the sum of $140,000 to resolve the relator’s claims for torts committed against him.  Computer Sciences Corporation has agreed to pay the Federal Government $1.35 Million to settle the claims asserted against it.  Copies of the Settlement Agreements may be found at:

https://www.schleifmanlaw.com/wp-content/uploads/2015/10/Settlement-Agreement-NetCracker.pdf

https://www.schleifmanlaw.com/wp-content/uploads/2015/10/Settlement-Agreement-CSC.pdf

As part of the settlement, neither NetCracker Technology Corp. nor Computer Sciences Corporation admitted to any wrongdoing.

Paul Schleifman, the relator’s counsel, applauds the relator for stepping forward under what were very difficult circumstances to bring what he believed was fraudulent and potentially very damaging activity to the attention of the U.S. Government.

The relator’s counsel, Paul Schleifman, has earned a reputation for successfully representing clients in serious civil litigation matters in federal and state courts in Virginia, Maryland and Washington, D.C. Inquiries may be directed to Paul Schleifman at (703) 528-1021, email pschleifman@schleifmanlaw.com.