Fraud against the Military, Homeland Security and other Agencies
Every agency is being cheated, whether it is the military, homeland security, or one of the more than 20 other agencies. Here are some common schemes:
- billing a government contract for work or parts used on a commercial contract (mischarging)
- charging for services not actually rendered
- falsely stating how many hours were spent
- lying about any work or service required to be performed
- billing for unallowable costs (i.e. personal expenses, or excessive salaries)
- overstating about how much it cost to make or buy an item
- misstating the percentage of completion of the contract (i.e. false progress payment requests)
- not conducting all of the required tests on items (i.e. testing of only one in 10,000 instead of the required one in 100, or not testing at all)
- substituting a different or an inferior product than called for in the contract
- concealing the true ownership or value of property
- sale and leaseback (i.e. selling property or buildings to a related party and then leasing it back from them)
- bid rigging (i.e. firms agreeing in advance how they will bid for a government contract)
- defective pricing (i.e. submitting inaccurate "cost or pricing data" when negotiation the price of a government contract
- kickbacks (i.e. accepting improper payments from suppliers to induce use of their products)
- not passing on to the government the same discounts or rebates given to others
- improper or inflated G&A or Overhead rates
- knowingly violating a Federal Acquisition Regulation (FAR) or an accounting standard
- billing for work which does not comply with specifications
- undisclosed related party transactions