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Notable Settlement
Cybersecurity
$14.75 Million

Hill Associates — GSA Cybersecurity Services Fraud

IT Company Pays $14.75 Million for GSA Contract Fraud

By Angie KellyLast updated: July 17, 2024

Source: U.S. Department of Justice

TL;DR: IT Company Pays $14.75 Million for GSA Contract Fraud This case resulted in a $14.75 Million resolution and demonstrates the impact of whistleblower protections in recovering funds from fraud.

Summary

Maryland IT company Hill Associates agreed to pay $14.75 million, plus possible future payments contingent on revenue, to resolve allegations that it violated the False Claims Act in connection with a General Services Administration contract for information technology services. DOJ alleged Hill Associates billed for highly adaptive cybersecurity services to government customers that it was not qualified to provide and that were outside the scope of the contract.

Our Take

GSA schedule fraud cases often involve scope creep and credential inflation—billing for services the contractor isn't actually qualified to perform. Insiders typically have access to proposal materials, staff qualifications (or lack thereof), project deliverables that don't match billing, and communications about "stretching" contract scope. If you've seen billing for expertise the company doesn't have, document the gap between what was promised, what was billed, and what was actually delivered.

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Notice

The summaries above are based on publicly available information released by the U.S. Department of Justice and are provided for informational purposes only. They do not constitute legal advice, investigative findings, or allegations by Disclosure Strategy. Our commentary reflects general, experience-based observations about how False Claims Act matters commonly arise and is not a statement about any party's liability.