Security Company Paying $7.5 Million to Resolve False Claims Suit – 07/07/11

Recently, Armor Group North America Inc. (AGNA) offered to pay the United States $7.5 million to resolve claims under the False Claims Act.  A whistleblower lawsuit alleged that the security company, in 2007 and 2008, submitted false claims for its work guarding the US Embassy in Kabul, Afghanistan while company employees frequented brothels.  Specifically, AGNA guards violated the Trafficking Victims Protection Act by visiting the brothels.  The whistleblower in the suit, former director of operations with AGNA, will get $1.35 million of the proceeds.

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