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Paper urges tougher controls on contractors

The federal government should require federal contractors to provide notice if they were significantly overpaid and proof that they have internal ethics programs, according to a report on reducing procurement fraud.

The white paper, produced by the National Procurement Fraud Task Force Legislation Committee, is being made available by the Project on Government Oversight (POGO), which posted the report on its Web site on Jan. 12.

The proposals include:

    * Preventing a contract award unless a contractor has an internal compliance program as well as measures of corrective actions.

    * Providing subpoena authority to compel interviews and receive electronic evidence for fraud prosecutions, defining "economic loss" in federal sentencing guidelines, and assigning officials from the inspectors general to the Justice Department to help prosecutions.

    * Requiring contractors to notify the government of "significant overpayments," extending conflict-of-interest laws to contractors, extending the General Service Administration's audit rights and establishing a "National Procurement Fraud Database."

The committee finished its work in June 2008, but this is the first time the report has been released, POGO said. Its authors are Brian Miller, IG for the General Services Administration, and Richard Skinner, IG for the Homeland Security Department.


About the Author

Alice Lipowicz is a staff writer covering government 2.0, homeland security and other IT policies for Federal Computer Week. Follow her on Twitter: @AliceLipowicz.

Reader comments

Tue, Mar 3, 2009

It's about time we focused on this issue as a serious drain to the country's fiscal budget. I currently work for a contractor practicing several levels of abuse, including over inflation of pricing (gouging), fraudulent billing, wire fraud, failure to pass on price reductions (required by FAR regulations)& tax evasion to the tune of a few million over the past couple of years. Many contractors in my particular field of work have been investigated & prosecuted. As soon as I can find another job, I intend to file a Qui Tam to bring this to justice. Too bad, Matthew Weigelt (the Acquisition Editor for Federal Computer Week) in his recent article "Administration Wants to Change Contracting" doesn't list the contracting officer job information for which he says the "government can't find people to fill the jobs". I'm so angry that I could assure that I would do everything I could to prevent to the continuing massive abuse & waste going on today with contractors. They cheat & deny the departments & military with the full amount of resources they should be receiving. After all, these are your tax dollars too!!

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