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Federal Contractor Misconduct Database (FCMD)

The federal government routinely awards contracts to companies with histories of misconduct, including contract fraud and other violations. POGO believes that providing this website will help to improve contracting decisions and increase public knowledge of how the government spends billions of taxpayer dollars each year. Read more…

United States v. Newport News Shipbuilding (Research and Development Mischarge)

Northrop Grumman paid $60 million to settle allegations that, Newport News Shipbuilding (NNS), a subsidiary acquired in December 2001, “mischarged as Independent Research and Development (IR&D) its costs for the design and development of double hulled tankers that the shipbuilder had contracts to build for commercial customers.” This was an alleged violation of the False Claims Act False Claims Act 31 USC §§ 3729, et. seq. The payment came as part of a joint settlement with the case U.S. ex rel. Jordan v. Northrop Grumman Corporation (CD CA No. 95-2985-ABC). Total restitution for the two cases amounted to $80 million.

Misconduct Type
Cost/Labor Mischarge
Enforcement Agency
Defense – Navy
Contracting Party
Defense - Navy
Court Type
Civil
Disposition
Settlement
Date of Settlement
8/20/2003
Contractors Involved Penalty
Total
Northrop Grumman $60,000,000
Further Information Released
DOJ Press Release 10/7/2006
Northrop Grumman Press Release 10/7/2006

Federal Contractor Misconduct Database