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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…

Pascagoula Shipyard False Billing – Criminal Prosecutions

Former Huntington Ingalls employees Neil Riley Holden and Robert Gary Gardner failed to report to authorities the submission of fraudulent invoices on Navy and Coast Guard ship contracts. According to the government, Holden and Gardner applied pressure to individuals working under their supervisory authority at a shipyard in Pascagoula, Mississippi, to bill the government for false labor hours. Both men pleaded guilty to one count of misprision of a felony. Gardner was sentenced to six months in prison, one year of supervised release, eight months of house arrest, and a $20,000 fine (plus a $100 special assessment). Holden was sentenced to three years’ probation, eight months of house arrest, and a $17,500 fine (plus a $100 special assessment). In August 2017, Huntington Ingalls Industries paid the government $9.3 million to settle a related civil fraud investigation (see Huntington Ingalls instance “U.S. ex rel. Faulkner v. Huntington Ingalls Industries (Pascagoula Shipyard False Billing)”.

Misconduct Type
Government Contract Fraud
Enforcement Agency
Multiple Agencies
Contracting Party
Multiple Agencies
Court Type
Criminal
Disposition
Pleaded Guilty
Date of Criminal Information
6/10/2015
Contractors Involved Penalty
Total
Huntington Ingalls Industries $37,700
Further Information Released
Gardner Judgment 12/14/2015
Holden Judgment 12/9/2015
Information 6/10/2015

See also:

Federal Contractor Misconduct Database