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…

Fraudulently Obtained Small Business Contracts

Atlantic Diving Supply (ADS) and its subsidiaries agreed to pay the United States $16 million to settle allegations that they violated the False Claims Act by knowingly conspiring with and causing purported small businesses to submit false claims for payment in connection with fraudulently obtained small business contracts. The government alleged ADS, together with several purported small businesses that it controlled, fraudulently induced the government to award certain small business set-aside contracts by misrepresenting their eligibility as service-disabled veteran-owned and socially or economically disadvantaged businesses. The settlement also resolved allegations that ADS engaged in illegal bid rigging schemes that inflated or distorted prices charged to the government under certain contracts. Luke Hillier, the majority owner and former CEO of ADS, and Charles Salle, the former general counsel of ADS, agreed to pay $20 million and $225,000, respectively, to resolve claims arising from their role in the alleged scheme.

Misconduct Type
Government Contract Fraud
Enforcement Agency
Contracting Party
Multiple Agencies
Court Type
Date of Settlement Announcement
Contractors Involved Penalty
Atlantic Diving Supply, Inc. $36,225,000
Further Information Released
DOJ Press Release 8/20/2019
ADS Press Release 8/11/2017
DOJ Press Release 8/10/2017
Law Firm Press Release 8/10/2017

Federal Contractor Misconduct Database