The Department of Justice announced that it intervened and reached a settlement in the Sanborn Map Qui Tam whistleblower lawsuit in which Sanborn Map Company Inc. has agreed to pay $2.1 million to the U.S. government to resolve allegations that it submitted false claims in connection with U. S. Army Corps of Engineers contracts.
Sanborn, headquartered in Colorado Springs, Colo., provides photogrammetric mapping and geographic information system services.
The Sanborn Map Qui Tam whistleblower lawsuit is captioned United States ex rel. James Peterson v. Sanborn Map Company Inc., 4:11CV000902 AGF (E.D. Mo.). The claims settled by this agreement are allegations only, and there has been no determination of liability.
The allegations of the Sanborn Map Qui Tam whistleblower lawsuit allege that
- from 2005 to 2011, Sanborn contracted with the U.S. Army Corp of Engineers to produce maps for U.S. convoy routes in Iraq, Marine Corps bases in the U. S. and other military and civilian projects
- Allegedly, in an effort to save money, Sanborn used unapproved foreign subcontractors on three projects, which violated contractual obligations and caused delays on these projects
- Sanborn also allegedly used unapproved domestic subcontractors when Sanborn was required to complete all map work in-house and charged unrelated work to the government contracts
- The allegations arose from a lawsuit filed by a former Sanborn employee, James Peterson, in a federal court in St. Louis, Mo., under the qui tam, or whistleblower, provisions of the False Claims Act, which allow private individuals known as “relators” to sue on behalf of the government and to share in the proceeds of any settlement or judgment.
- Peterson’s share of today’s settlement has not been determined.
The False Claims Act (qui tam and whistleblower) also permits the government to investigate the allegations made in the relator’s complaint and to decide whether to intervene in the lawsuit, and to recover three times its damages plus civil penalties.
For more information on Qui Tam Whistleblower lawsuits, click here.
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