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…

SEC v. Zeringue, et al. (Insider Trading)

The Securities and Exchange Commission (SEC) filed a civil injunctive action alleging that former Shaw Group vice president Scott Zeringue and his brother-in-law engaged in insider trading in Shaw Group securities ahead of the July 2012 public announcement of Shaw’s acquisition by Chicago Bridge & Iron Company (CB&I). As an employee of Shaw, Zeringue owed a fiduciary duty to Shaw and its shareholders to keep confidential any material nonpublic information about the company. The SEC alleged that Zeringue traded company securities based on confidential information he possessed about the impending CB&I acquisition. The SEC alleged that Zeringue purchased 125 shares of Shaw common stock and asked his brother-in-law to purchase Shaw stock on his behalf. The brother-in-law allegedly rewarded Zeringue for the tip by giving Zeringue $30,000 in cash in November 2013. Zeringue, who previously pleaded guilty to related criminal charges (see Shaw Group instance, “U.S. v. Zeringue (Insider Trading)”), consented to a final judgment imposing an injunction, $96,000 in disgorgement and civil penalties, and a prohibition from acting as an office or director of a public company for 10 years.

Misconduct Type
Enforcement Agency
Contracting Party
Court Type
Date of SEC Complaint
Contractors Involved Penalty
Shaw Group $96,018
Further Information Released
SEC Complaint 2/19/2015
SEC Press Release 2/19/2015

See also:

Federal Contractor Misconduct Database