- Chief Compliance Officer and VP of Legal Affairs, Arrow Electronics
By 
Kyle Brasseur2024-02-23T14:05:00
The announcement of a record year in several areas of False Claims Act enforcement at the Department of Justice (DOJ) was accompanied by a warning that more significant cases are coming, particularly regarding cybersecurity-related claims.
“[W]e will continue to dedicate resources to investigating companies that fail to comply with their cybersecurity obligations,” said Civil Division Principal Deputy Assistant Attorney General Brian Boynton in remarks delivered Thursday at a Federal Bar Association conference. “We expect these cases to continue to be a significant area of enforcement in the coming years.”
In 2021, the DOJ launched its Civil Cyber-Fraud Initiative, under which it seeks to hold accountable government contractors that fail to follow federal cybersecurity requirements. The initiative has been a driving force behind notable enforcement actions against companies including Verizon and Aerojet Rocketdyne.
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Guidehouse and Nan McKay and Associates will pay a total of $11.3 million to the Department of Justice (DOJ) to settle allegations that cybersecurity failures led to the theft of client personal information during the height of the COVID-19 pandemic.
Atlanta-based staffing agency Insight Global agreed to pay $2.7 million to settle alleged False Claims Act violations for failing to provide adequate cybersecurity on Covid-19 contract tracing data.
The Department of Justice’s Antitrust Division, the Federal Trade Commission, and the Department of Health and Human Services partnered to create an online portal for the public to report instances of anticompetitive practices in the healthcare sector.
USAA Federal Savings Bank has been hit with its third cease and desist order from the Treasury Department’s Office of the Comptroller of the Currency in the past five years for failing to correct unsafe and unsound banking practices.
Becton Dickinson medical device company will pay $175 million for “repeatedly” misleading investors about its Alaris infusion pump, a product the company knew was flawed and was sold without the required patient-safety approvals, the Securities and Exchange Commission said.
The Securities and Exchange Commission charged bankrupt fashion retailer Express with failing to disclose nearly $1 million in perks to a former chief executive, but did not levy a financial penalty thanks to its cooperation, the SEC said.
