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…
Vavra v. KBR (False Claims on LOGCAP Contracts in the Balkans and Iraq)
In May 2010, the U.S. government intervened in a whistleblower lawsuit alleging that employees of two freight forwarding companies provided kickbacks to KBR employees on the Logistics Civil Augmentation Program (LOGCAP III) contract in Iraq. The lawsuit alleged that employees of freight forwarders Eagle Global Logistics (which later merged with TNT Logistics and become CEVA) and Panalpina provided meals, drinks, sporting event tickets, and golf outings to KBR employees in exchange for favorable treatment, in violation of the False Claims Act and Anti-Kickback Act. In August 2008, former KBR employee Robert Bennett pleaded guilty to criminal charges in the matter (see KBR instance, “U.S v. Bennett (LOGCAP Freight Forwarding Kickbacks)”).The lawsuit also alleged overbilling by KBR subcontractor Wesco in the Balkans. In October 2015, after a bench trial, the court found KBR liable under the Anti-Kickback Act for a total civil penalty of $108,342. In April 2017, following an appellate court ruling in the case, the trial court reduced the penalty to $98,240
- Misconduct Type
- Government Contract Fraud
- Enforcement Agency
- Multiple Agencies
- Contracting Party
- Defense - Army
- Court Type
- Civil
- Disposition
- Judgment Against Defendant
- Date of Complaint
- 2/24/2010
Contractors Involved |
Penalty |
Total |
|
KBR |
$98,240
|