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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…
Indiana Welfare Systems Contract Breach
In 2006, the State of Indiana awarded a $1.3 billion contract to IBM to modernize and improve the state’s welfare eligibility system. In 2009, the state terminated the contract for cause, citing “numerous and repeated quality and timeliness failures” on the part of IBM. Both parties sued each other for breach of contract, with Indiana seeking $170 million in damages and IBM seeking $52 million. In August 2017, a state court ruled that IBM owed Indiana $78.2 million in damages ($128 million offset by $49.8 million in damages owed to IBM).
- Misconduct Type
- Poor Contract Performance
- Enforcement Agency
- State/Local
- Contracting Party
- State/Local
- Court Type
- Civil
- Disposition
- Judgment Against Defendant
- Date of Appellate Ruling
- 3/22/2016
