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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…

U.N. Contracts FCPA Violations (SEC Settlement)

The U.S. Securities and Exchange Commission (SEC) charged Armor Holdings (now a subsidiary of BAE Systems) with violating the Foreign Corrupt Practices Act (FCPA) by participating in a bribery scheme from 2001 through 2006 to obtain contracts to supply United Nations peacekeeping missions with body armor. The SEC alleged that Armor Holdings’ UK subsidiary made at least 92 improper payments totaling approximately $222,750. The SEC also charged Armor Holdings with failing to properly account for more than $4 million in commissions from 2001 through 2007 in violation of the federal securities laws. Armor Holdings agreed to settle the SEC’s charges by paying nearly $5.7 million in disgorgement, prejudgment interest, and penalties. Armor Holdings also reached a settlement in the same matter with the U.S. Department of Justice (see Armor Holdings instance, “U.N. Contracts FCPA Violations (Department of Justice Settlement)”). See related Armor Holdings instance, “USA v. Bistrong (FCPA Violation).”

Misconduct Type
Ethics
Enforcement Agency
SEC
Contracting Party
International
Court Type
Civil
Disposition
Settlement
Date of Settlement Announcement
7/13/2011
Contractors Involved Penalty
Total
Armor Holdings, Inc. $5,690,744
Further Information Released
SEC Complaint 7/15/2011
SEC Press Release 7/15/2011

See also:

Federal Contractor Misconduct Database