$1.6 Million Settlement reached to resolve False Claims for Federal Grants Allegations against Big Brothers Big Sisters of America Corporation

Settlement Amount:

$1,600,000

A settlement has been reached to resolve False Claims for Federal Grants allegations against Big Brothers Big Sisters of America Corporation.

On January 21, 2016, the Justice Department announced, Big Brothers Big Sisters of America Corporation (Big Brothers) has agreed to pay the United States $1.6 million to resolve allegations of false claims for funds under Department of Justice grants awarded to help children at risk.

The United States alleges that Big Brothers violated these regulations and guidelines with respect to three grants awarded by the Justice Department from 2009 to 2011, by commingling the grant funds with general operating funds, failing to segregate expenditures to ensure that the funds were used as intended and failing to maintain internal financial controls to safeguard the proper use of those funds.

Big Brothers has replaced its management team and put in place policies governing the use of federal grant funds as of 2013.

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