Cisco, Westcon, pay $48 million to settle GSA defective pricing allegations in False Claims Act suit

by Ben Vernia | September 8th, 2010

On September 7, the Department of Justice announced that Cisco Systems and Westcon Group, N.A., have agreed to pay $48 million to settle their share of the Rille qui tam suit pending in the Eastern District of Arkansas. According to DOJ’s press release:

Today’s civil settlement resolves the United States’ assertions that Cisco and Westcon knowingly provided incomplete information to GSA contracting officers during negotiations in regard to Westcon’s contract with the GSA, which resulted in defective pricing of Cisco products and submission of false claims to the United States.

The government said that it had agreed to dismiss the Rille complaint, but did not specify what (if any) share the relator would receive of this settlement.

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