A settlement has been reached in a whistleblower class action lawsuit brought against The Gallup Organization who is accused of it violating the False Claims Act and the Procurement Integrity Act for conduct involving several of its federal government contracts and subcontracts.
The whistleblower will receive a $1,929,363 share of the government’s recovery.
The original whisteblower case, filed in October 2009, alleged that Gallup knowingly overstating its estimated labor hours in proposals to the U.S. Mint and State Department for contracts it was awarded without competing bids. The government joined in the case in November 2012. The U.S. complaint alleged that the two federal agencies awarded Gallup contracts and task orders at falsely inflated prices and that Gallup engaged in improper employment negotiations with a then Federal Emergency Management Agency (FEMA) official, Timothy Cannon, in order to obtain a FEMA subcontract at an inflated price and additional FEMA funding after the subcontract had been awarded.
