Menu

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…

Mentor-Protégé Program False Claims Settlement

Caddell Construction paid the United States $1.15 million to settle allegations that it violated the False Claims Act by falsely reporting to the Army Corps of Engineers that it hired and mentored a Native American-owned company to work on construction projects at Fort Bragg, N.C., and Fort Campbell, Ky. The Army Corps contracted with Caddell between 2003 and 2005 to build barracks at the two bases. As part of the contracts, Caddell represented that it would hire and mentor Mountain Chief Management Services, a Native American-owned company, under the Department of Defense’s Mentor-Protégé and Indian Incentive Programs. The government alleged that, from April 2003 to March 2005, Caddell falsely represented in its invoices and supporting documents that it was mentoring Mountain Chief and that Mountain Chief was performing work on the construction projects. According to the government, Mountain Chief was merely a pass-through entity used by Caddell to claim payments under the two programs, and it didn’t perform the work or receive the mentoring services for which Caddell received payment. Caddell’s former director of business development, Mark Hill, was indicted on related criminal charges in January 2012 (see pending Caddell Construction Company instance, “U.S. v. Hill (Mentor-Protégé Program Fraud)”). In December 2012, Caddell entered into a non-prosecution agreement in the matter under which it agreed to pay $2 million (see Caddell Construction Company instance, “Mentor-Protégé Program Fraud Non-Prosecution Agreement”)

Misconduct Type
Government Contract Fraud
Enforcement Agency
Justice
Contracting Party
Defense - Army
Court Type
Civil
Disposition
Settlement
Date of Settlement Announcement
3/25/2013
Contractors Involved Penalty
Total
Caddell Construction Co., Inc. $1,150,000
Further Information Released
DOJ Press Release 3/25/2013

See also:

Federal Contractor Misconduct Database