Portrait of a Crooked Government Contractor

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The Economist

Image: The Economist

COMPUTER SCIENCES CORPORATION (CSC)  –  Waste, Fraud and Abuse BY THE NUMBERS

Financial Manipulation

“SEC Press Release”

” The Securities and Exchange Commission today charged Computer Sciences Corporation and former executives with manipulating financial results and concealing significant problems about the company’s largest and most high-profile contract.CSC agreed to pay a $190 million penalty to settle the charges, and five of the eight charged executives agreed to settlements. ”

https://www.sec.gov/news/pressrelease/2015-111.html

Resume Padding, Time Card Fraud and Kickbacks

“Project on Government Oversight”

“This wasn’t CSC’s first run-in with its federal customers. In 2000, CSC’s credit services unit paid $6.4 million to settle allegations that it made false claims for payment on federal student loan programs. A few months earlier, CSC paid $8,730 to settle fraudulent billing allegations on a contract with the Defense Commissary Agency. In that instance, CSC employees were accused of charging the government for the time they were attending college classes. In 2005, CSC reimbursed the government $1.3 million after discovering a former employee, over a nine-year period, billed NASA for payments made to fictitious companies. In 2008, CSC agreed to fork over almost $1.4 million to resolve a False Claims Act lawsuit alleging it took part in a massive kickback and bribery scheme among federal IT contractors dating back to the 1990s.”

False Claims, Securities Litigation, Software Litigation

“Project on Government Oversight”

“Founded in 1959, Computer Sciences Corporation is a global information technology (IT) services company. With approximately 80,000 employees, CSC provides systems design and integration, IT and business process outsourcing, applications software development, Web and application hosting, and management consulting.

Total Number of Instances: 8”

http://www.contractormisconduct.org/index.cfm/1,73,221,html?ContractorID=20&ranking=12

A History of  Government Cronyism and Poor Performance for Over a Decade

“Washington Post” 2005

“Groundbreaker, a $2 billion effort to modernize and outsource the agency’s [NSA] electronics infrastructure, including computers, software and networks. A CSC-led team in 2001 won the Groundbreaker contract. As part of the contract, about 1,000 NSA employees became employees of CSC or one of its teammates. Groundbreaker and Trailblazer were supposed to work together, but both are believed to be behind schedule and over budget, Aid said. “You cannot do one without the other,” he said. Hayden, in his testimony in April, acknowledged that NSA initially had mishandled the Trailblazer contract. “We learned within Trailblazer that when we asked industry for something they had or something close to what they already had, they were remarkable in providing us a response, an outcome,” Hayden told the committee. “When we asked them for something that no one had yet invented, they weren’t any better at inventing it than we were in doing it ourselves.”

http://washingtontechnology.com/Articles/2005/09/10/Trailblazer-loses-its-way.aspx?Page=2

Why is the contractor still doing business spending your taxes under billions in active contracts? We suggest you inquire with your Senator and your Congressman.

About rosecoveredglasses

Ken Larson was awarded the Bronze Star during two military tours in Vietnam. His career subsequently spanned 36 years with major aerospace and defense companies and small business consulting. Ken received the SCORE National Achievement Award in 2010 and the MicroMentor Award for Outstanding Service In Mentorship in 2021. Micro Mentor and SCORE are non-profit organization offering free assistance to small business in business planning, operations, marketing and other aspects of starting and successfully operating a small enterprise. Ken is the author of two books, "Odyssey Of Armaments" and "Small Business Federal Government Contracting". He specializes in Small, Veteran-owned, Minority-Owned and Woman-Owned Businesses beginning work with the Federal Government. You can contact Ken for small business assistance at MicroMentor by going to: https://www.micromentor.org/mentor/38640 or by going to SCORE at: https://southmetro.score.org/mentors/ken-larson

7 responses »

  1. Pingback: BUSINESS ETHICS FEED GOVERNMENT RECORDS OF PAST PERFORMANCE | ROSE COVERED GLASSES

  2. CSC is an environment rife with greed. It has bled down to the lowest levels and the employees are made to bear the brunt of the consequences.

    Like

  3. Pingback: (CWFA) Corporate Waste Fraud and Abuse Inc. | ROSE COVERED GLASSES

  4. Pingback: Are the NSA, DOD and other Government Agencies Doing their Jobs or Wasting our Money? | Eslkevin's Blog

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