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NetApp settles FCA case alleging GSA contract fraud

By Phillips & Cohen LLP

NetApp, a computer storage and data management solutions company, will pay the federal government $128 million to settle a False Claims Act suit.

NetApp, which supplied hardware, software and storage solutions to government clients through the General Service Administration's Multiple Award Schedule, was required to report discounts it gave to its commercial clients. This allows the government to negotiate its best price and protect its most favored customer status.

The Justice Department announced the settlement, originally brought by a whistleblower, on April 15th.

Full post as published by False Claims Act - Qui Tam on April 20, 2009 (boomark / email).