IT Firm Will Pay $500,000 to Resolve Allegations It Hid Litigation Expenses in G&A Costs

IT firm Integral Consulting Services, Inc. will pay $505,838.00 to settle allegations that it submitted false claims to the United States by inflating certain indirect cost rates in connection with work performed on an Army contract. The civil settlement agreement resolves allegations that ICS took costs and expenses it incurred in connection with litigation arising out of a teaming agreement with another contracting company and included the costs and expenses in the General and Administration indirect cost pool that was spread amongst ICS’s various government contracts and submitted to the government. The inclusion of such costs had the effect of inflating the claims paid by the Army to ICS.

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