A settlement has been reached in a whistleblower class action lawsuit brought against CDI Corporation who is accused of charging the military for work not actually performed.
Under the terms of the settlement, the whistleblower will receive $360,750.
The whistleblower cae was originally filed in 2005. The United States alleged that CDI wrongfully charged labor costs to work orders under military aircraft engine contracts for The General Electric Company (GE). The civil investigation examined CDI’s labor and billing records from Jan. 15, 2001, to Dec. 31, 2006. The civil investigation found that during this time period, CDI directed the mischarging of employees’ labor costs to purchase orders that would be reimbursed by the U.S. military. In fact, the employees did not perform the work billed to those military projects. CDI entered these mischarged labor costs in increments of 0.5 hours or less to evade detection.
