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The government awards contracts to companies with histories of misconduct such as contract fraud and environmental, ethics, and labor violations. In the absence of a centralized federal database listing instances of misconduct, the Project On Government Oversight (POGO) is providing such data. We believe that it will lead to improved contracting decisions and public access to information about how the government spends hundreds of billions of taxpayer money each year on goods and services. Report an instance of misconduct »

Northrop Grumman

Maze v. Ingalls Shipbuilding (Improper Charging of Costs and Improper Billing)

Date: 11/16/1998 (Date of Settlement)

Misconduct Type: Cost/Labor Mischarge

Enforcement Agency: Defense – Navy

Contracting Party: Defense - Navy

Court Type: Civil

Amount: $2,250,000

Disposition: Settlement

Synopsis: Ingalls Shipbuilding, a subsidiary of Northrop Grumman, reached a settlement of $2.25 million with the Navy in a False Claims Act suit. The plaintiff alleged “Ingalls fraudulently exploited an accounting practice in order to shift certain costs to Navy contracts” that should have been charnged to its commercial contracts with the government of Israel and “improperly billed the government for work not performed.”