A settlement has been reached in a whistleblower class action lawsuit brought against CDW-G, a wholly-owned subsidiary of Illinois-based CDW Corporation. CDW-G is accused of submitting false claims in connection with a U.S. General Services Administration (GSA) contract.
The whistleblower will receive $1,585,892.56 of the total recovery.
The initial whistleblower lawsuit was filed in January 2005. The government allegations were that during the period 1999 to 2011, CDW-G improperly charged government purchasers for shipping, sold products to the United States that were manufactured in China and other countries that are prohibited by the Trade Agreements Act, and underreported sales in order to avoid paying GSA its “Industrial Funding Fee,” a fee based on total contract sales that is designed to cover GSA’s costs of contract administration.