Office of Public Affairs Raytheon Companies and Nightwing Group to Pay 84M to Resolve False Claims Act Allegations Relating to NonCompliance with Cybersecurity Requirements in Federal Contracts United States Department of Justice
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ppArchived NewsppRaytheon Company Raytheon RTX Corporation and Nightwing Group LLC and Nightwing Intelligence Solutions LLC collectively Nightwing have agreed to pay 84 million to resolve allegations that Raytheon violated the False Claims Act by failing to comply with cybersecurity requirements in contracts or subcontracts involving the Department of Defense DoD Raytheon is a subsidiary of Arlington Virginiabased defense contractor RTX Corporation formerly known as Raytheon Technologies Corporation In March 2024 RTX Corporation sold its Cybersecurity Intelligence and Services business which since became part of Dulles Virginiabased Nightwing The settlement resolves conduct that allegedly occurred between 2015 and 2021 prior to Nightwings acquisition of the businessppThe settlement was announced by US Attorney Edward R Martin Jr Acting Assistant Attorney General Yaakov Roth head of the Justice Departments Civil Division Special Agent in Charge Kenneth DeChellis of the Department of Defense Criminal Investigative Service Cyber Field Office Special Agent in Charge William W Richards of the Air Force Office of Special Investigations AFOSI Special Agent in Charge Keith K Kelly of the Department of the Army Criminal Investigation Divisions Fraud Field Office and Special Agent in Charge Greg Gross NCIS Economic Crimes Field OfficeppCyber threats have grown in size and reach in recent years leaving no room for complacency among those in the public sector private sector or even among private citizens said US Attorney Edward R Martin Jr for the District of Columbia Government contractors must comply with the cybersecurity rules that govern their performance and be candid about their compliance This settlement reflects the Governments commitment to pursue contractors that fail to live up to those expectationsppAs cyber threats continue to evolve it is critical that defense contractors take the required steps to protect sensitive government information from bad actors said Acting Assistant Attorney General Yaakov Roth of the Justice Departments Civil Division We will continue our efforts to hold contractors accountable when they fail to honor their DoD cybersecurity commitmentsppThe settlement resolves allegations that Raytheon and its thensubsidiary Raytheon Cyber Solutions Inc RCSI failed to implement required cybersecurity controls on an internal development system that was used to perform unclassified work on certain DoD contracts The United States alleged that Raytheon and RCSI failed to develop and implement a system security plan for the system as required by DoD cybersecurity regulations and failed to ensure that the system complied with other cybersecurity requirements contained in the Defense Federal Acquisition Regulation Supplement DFARS 2522047012 and Federal Acquisition Regulation FAR 5220421 FAR 5220421 requires federal contractors to apply basic safeguarding requirements to information systems that process or store federal contract information DFARS 2522047012 requires contractors to provide adequate security for information systems that process or store covered defense information The settlement resolved allegations that Raytheon used its noncompliant internal system to develop use or store covered defense information and federal contract information during its performance on 29 DoD contracts and subcontractsppThe Defense Criminal Investigative Service DCIS the law enforcement arm of the DoD Office of Inspector General is steadfastly committed to upholding the integrity of all business systems used to process and store defense information said Special Agent in Charge DeChellis of the DCIS Cyber Field Office DCIS along with our investigative partners will continue to protect our service members and military technological edge by ensuring defense contractors strictly adhere to their cyber security contractual obligationsppFailure to implement cybersecurity requirements can have devastating consequences leaving sensitive DoD data vulnerable to cyber threats and malicious actors said Special Agent in Charge William Richards of the Air Force Office of Special Investigations Procurement Fraud Office Andrew AFB Md AFOSI alongside our investigative partners and the Department of Justice will continue to combat fraud affecting the Department of the Air Force and hold those accountable that fail to properly safeguard sensitive defense informationppThis settlement further demonstrates the resolve of the Department of the Army Criminal Investigation Division and our law enforcement partners to protect and defend the assets of the United States Army said Special Agent in Charge Keith K Kelly of the Department of the Army Criminal Investigation Divisions Fraud Field OfficeppStrict compliance with contractual cybersecurity requirements is of dire importance to adequately safeguard sensitive information from sophisticated adversaries assure the safety of our warfighters and maintain our militarys competitive edge said Special Agent in Charge Greg Gross NCIS Economic Crimes Field Office NCIS and our federal partners remain committed to investigating entities that do not responsibly protect critical information entrusted to themppThe settlement resolves a lawsuit filed under the whistleblower provisions of the False Claims Act which permit private parties to sue on behalf of the government when they believe that a defendant has submitted false claims for government funds and receive a share of any recovery The settlement in this case provides for the whistleblower Branson Kenneth Fowler Sr a former Director of Engineering with Raytheon to receive a 1512000 share of the settlement amount The qui tam case is captioned US ex rel Doe v Raytheon Co et al No 21cv2343 DDCppThe resolution obtained in this matter was the result of a coordinated effort between the Justice Departments Civil Division Commercial Litigation Branch Fraud Section and the United States Attorneys Office for the District of Columbia with assistance from the Air Force Materiel Command AFOSI DCIS NCIS and Army Criminal Investigation DivisionppThe matter was investigated by Assistant US Attorney Darrell Valdez of the District of Columbia and Senior Trial Counsel Kimberly Friday of the Justice Departments Civil DivisionppThe claims resolved by the settlement are allegations only and there has been no determination of liabilityppThe Justice Department announced today that Assertio Therapeutics Inc formerly known as Depomed Inc Assertio a pharmaceutical company headquartered in Lake Forest Illinois has agreed to pay 36 million toppThe United States filed a complaint today under the False Claims Act FCA against three of the nations largest health insurance companies Aetna Inc and affiliates Elevance Health IncppThe Justice Department together with the Drug Enforcement Administration DEA and Department of Health and Human Services Office of Inspector General HHSOIG today announced a 300 million settlement with Walgreens BootsppOffice of Public AffairsUS Department of Justice950 Pennsylvania Avenue NWWashington DC 20530ppOffice of Public Affairs Direct Line2025142007ppDepartment of Justice Main Switchboard2025142000ppSignup for Email UpdatesSocial MediappppHave a question about Government Servicesp
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ppArchived NewsppRaytheon Company Raytheon RTX Corporation and Nightwing Group LLC and Nightwing Intelligence Solutions LLC collectively Nightwing have agreed to pay 84 million to resolve allegations that Raytheon violated the False Claims Act by failing to comply with cybersecurity requirements in contracts or subcontracts involving the Department of Defense DoD Raytheon is a subsidiary of Arlington Virginiabased defense contractor RTX Corporation formerly known as Raytheon Technologies Corporation In March 2024 RTX Corporation sold its Cybersecurity Intelligence and Services business which since became part of Dulles Virginiabased Nightwing The settlement resolves conduct that allegedly occurred between 2015 and 2021 prior to Nightwings acquisition of the businessppThe settlement was announced by US Attorney Edward R Martin Jr Acting Assistant Attorney General Yaakov Roth head of the Justice Departments Civil Division Special Agent in Charge Kenneth DeChellis of the Department of Defense Criminal Investigative Service Cyber Field Office Special Agent in Charge William W Richards of the Air Force Office of Special Investigations AFOSI Special Agent in Charge Keith K Kelly of the Department of the Army Criminal Investigation Divisions Fraud Field Office and Special Agent in Charge Greg Gross NCIS Economic Crimes Field OfficeppCyber threats have grown in size and reach in recent years leaving no room for complacency among those in the public sector private sector or even among private citizens said US Attorney Edward R Martin Jr for the District of Columbia Government contractors must comply with the cybersecurity rules that govern their performance and be candid about their compliance This settlement reflects the Governments commitment to pursue contractors that fail to live up to those expectationsppAs cyber threats continue to evolve it is critical that defense contractors take the required steps to protect sensitive government information from bad actors said Acting Assistant Attorney General Yaakov Roth of the Justice Departments Civil Division We will continue our efforts to hold contractors accountable when they fail to honor their DoD cybersecurity commitmentsppThe settlement resolves allegations that Raytheon and its thensubsidiary Raytheon Cyber Solutions Inc RCSI failed to implement required cybersecurity controls on an internal development system that was used to perform unclassified work on certain DoD contracts The United States alleged that Raytheon and RCSI failed to develop and implement a system security plan for the system as required by DoD cybersecurity regulations and failed to ensure that the system complied with other cybersecurity requirements contained in the Defense Federal Acquisition Regulation Supplement DFARS 2522047012 and Federal Acquisition Regulation FAR 5220421 FAR 5220421 requires federal contractors to apply basic safeguarding requirements to information systems that process or store federal contract information DFARS 2522047012 requires contractors to provide adequate security for information systems that process or store covered defense information The settlement resolved allegations that Raytheon used its noncompliant internal system to develop use or store covered defense information and federal contract information during its performance on 29 DoD contracts and subcontractsppThe Defense Criminal Investigative Service DCIS the law enforcement arm of the DoD Office of Inspector General is steadfastly committed to upholding the integrity of all business systems used to process and store defense information said Special Agent in Charge DeChellis of the DCIS Cyber Field Office DCIS along with our investigative partners will continue to protect our service members and military technological edge by ensuring defense contractors strictly adhere to their cyber security contractual obligationsppFailure to implement cybersecurity requirements can have devastating consequences leaving sensitive DoD data vulnerable to cyber threats and malicious actors said Special Agent in Charge William Richards of the Air Force Office of Special Investigations Procurement Fraud Office Andrew AFB Md AFOSI alongside our investigative partners and the Department of Justice will continue to combat fraud affecting the Department of the Air Force and hold those accountable that fail to properly safeguard sensitive defense informationppThis settlement further demonstrates the resolve of the Department of the Army Criminal Investigation Division and our law enforcement partners to protect and defend the assets of the United States Army said Special Agent in Charge Keith K Kelly of the Department of the Army Criminal Investigation Divisions Fraud Field OfficeppStrict compliance with contractual cybersecurity requirements is of dire importance to adequately safeguard sensitive information from sophisticated adversaries assure the safety of our warfighters and maintain our militarys competitive edge said Special Agent in Charge Greg Gross NCIS Economic Crimes Field Office NCIS and our federal partners remain committed to investigating entities that do not responsibly protect critical information entrusted to themppThe settlement resolves a lawsuit filed under the whistleblower provisions of the False Claims Act which permit private parties to sue on behalf of the government when they believe that a defendant has submitted false claims for government funds and receive a share of any recovery The settlement in this case provides for the whistleblower Branson Kenneth Fowler Sr a former Director of Engineering with Raytheon to receive a 1512000 share of the settlement amount The qui tam case is captioned US ex rel Doe v Raytheon Co et al No 21cv2343 DDCppThe resolution obtained in this matter was the result of a coordinated effort between the Justice Departments Civil Division Commercial Litigation Branch Fraud Section and the United States Attorneys Office for the District of Columbia with assistance from the Air Force Materiel Command AFOSI DCIS NCIS and Army Criminal Investigation DivisionppThe matter was investigated by Assistant US Attorney Darrell Valdez of the District of Columbia and Senior Trial Counsel Kimberly Friday of the Justice Departments Civil DivisionppThe claims resolved by the settlement are allegations only and there has been no determination of liabilityppThe Justice Department announced today that Assertio Therapeutics Inc formerly known as Depomed Inc Assertio a pharmaceutical company headquartered in Lake Forest Illinois has agreed to pay 36 million toppThe United States filed a complaint today under the False Claims Act FCA against three of the nations largest health insurance companies Aetna Inc and affiliates Elevance Health IncppThe Justice Department together with the Drug Enforcement Administration DEA and Department of Health and Human Services Office of Inspector General HHSOIG today announced a 300 million settlement with Walgreens BootsppOffice of Public AffairsUS Department of Justice950 Pennsylvania Avenue NWWashington DC 20530ppOffice of Public Affairs Direct Line2025142007ppDepartment of Justice Main Switchboard2025142000ppSignup for Email UpdatesSocial MediappppHave a question about Government Servicesp