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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…

Tagging Contract Overbilling

Serco allegedly overcharged the UK Ministry of Justice on a contract to electronically monitor (“tag”) criminal offenders. The government alleged that, as far back as 2005, Serco wrongly billed the government for tagging work that was never performed. Audits performed by the Ministry of Justice and Cabinet Office found no evidence of deliberate acts or omissions by Serco, but that there were deficiencies in controls over the invoice and payment processes on the contracts. Serco repaid the government £68.5 million (US$110.6 million). Serco also disgorged £2 million (US$3.2 million) of past profits and agreed to forgo future profits on its contract for escorting prisoners to court, on which the company had misrecorded the numbers of prisoners delivered ready for court.

Misconduct Type
Cost/Labor Mischarge
Enforcement Agency
International
Contracting Party
International
Court Type
N/A
Disposition
Settlement
Date of Settlement Announcement
12/19/2013
Contractors Involved Penalty
Total
Serco Group $113,846,006
Further Information Released
Serco Press Release 12/19/2013

See also:

Federal Contractor Misconduct Database