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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…

Breach of Contract to Replace Michigan Computer Systems

The state of Michigan sued Hewlett-Packard over its failure to complete a $50 million contract to replace aging computer systems at Department of State offices (the “BAM Project”). The original contract was awarded in 2005 to Electronic Data Systems, which HP acquired in 2008. HP had been paid over $33 million for its work on the contract. The state filed suit after issuing HP a termination for cause letter in late August 2015 and HP stopped work despite a requirement in the contract that, even if terminated, HP still must provide support to ensure services are not affected. The state also accused HP of withholding intellectual property belonging to the state and removing access to and retaining personal identification information. In April 2017, it was announced that HP agreed to pay $13 million to settle the lawsuit.

Misconduct Type
Poor Contract Performance
Enforcement Agency
State/Local
Contracting Party
State/Local
Court Type
Civil
Disposition
Settlement
Date of Complaint
9/16/2015
Contractors Involved Penalty
Total
Hewlett-Packard Company $13,000,000
Further Information Released
State of Michigan Press Release 9/18/2015
Complaint 9/16/2015

Federal Contractor Misconduct Database