October 9, 2018

A defense contractor has agreed to pay $7.8 million to settle allegations that it violated the False Claims Act by fraudulently obtaining Department of Defense contracts meant for small businesses. Arena Event Services, Inc., dba Arena Americas, allegedly paid kickbacks to the smaller Military Training Solutions, LLC (MTS) in order to obtain millions of dollars worth of contracts. The work was then performed by the larger Arena Americas in a setup explicitly prohibited by government contract rules. MTA has previously settled with the government for its role in the fraud. USAO SDGA

Tagged in: Defense Contract Fraud, FCA Federal,