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 Multimillion Dollar Judgment in NOAA and NIST Fraud Case

August 30, 2012
On August 30, 2012, MTS Systems Corporation (MTS), a contractor for NOAA and NIST, as well as other Federal agencies, agreed to pay $7.75 million to settle civil claims brought against MTS by the Federal government. These civil claims were based on false statements made by MTS officials while submitting Online Representations and Certifications Application forms required for contract applicants. In addition to the monetary settlement, MTS also entered into a 3-year compliance agreement in which the company agreed to adopt an ethics and compliance program, committed and agreed to make every effort to ensure all government contracting business and operations shall be conducted in compliance with applicable laws, and agreed to retain, at MTS expense, an independent Compliance Monitor. Our investigation was conducted jointly with the Air Force Office of Special Investigations, FBI, and NASA OIG.