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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…

Criminal Conspiracy

Former BearingPoint employee Larry Rodda pled guilty to one count of criminal conspiracy in connection with an alleged scheme by California software company Peregrine Systems Inc. to inflate its stock price. Peregrine overstated its revenue by $509 million from 1999 to 2001. BearingPoint was a reseller of Peregrine’s software during that time. Rodda, who had been charged with signing phony contracts for Peregrine, was also named in a civil suit brought by the Securities and Exchange Commission in the matter. BearingPoint was subpoenaed in the case and has also been named in several civil lawsuits alleging that it helped Peregrine carry out its scheme. In January 2008, Rodda was sentenced to six months in prison, six months of home detention, and two years of supervised release. He was also ordered to pay a $100 special assessment. See related BearingPoint Inc. instances, “SEC v. Gardner, et al. (Aiding and Abetting Financial Fraud)” and “Aiding and Abetting Financial Fraud.”

Misconduct Type
Securities
Enforcement Agency
Justice
Contracting Party
None
Court Type
Criminal
Disposition
Pleaded Guilty
Date of Plea
11/16/2004
Contractors Involved Penalty
Total
BearingPoint Inc. $100
Further Information Released
Sentencing Judgment 2/29/2008
SEC 8-K (p. 2 of 7) 5/4/2007

See also:

Federal Contractor Misconduct Database