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Parent's No-Debarment Agreement Doesn't Stop CO Finding Sub Lacks Integrity

Client Alert | less than 1 min read | 08.21.08

In OSG Product Tankers, LLC v. U.S. (June 30, 2008), the Court of Federal Claims held that a CO could disqualify a contractor as not "presently responsible" due to lack of integrity because the contractor's parent had pled guilty to a number of felonies, despite an agency settlement agreement with the parent ruling out the parent's debarment as long as it complied with its plea agreement. According to the court, the debarment settlement involving the parent did not estop the CO's independent non-responsibility decision regarding the subsidiary, even though the lack of integrity finding was based on the actions of the parent.

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Client Alert | 4 min read | 04.09.26

DOJ Establishes National Fraud Enforcement Division

On April 7, 2026, Acting Attorney General Todd Blanche issued a memorandum establishing the National Fraud Enforcement Division (NFED) within the U.S. Department of Justice (DOJ). This new division will be dedicated to the centralized, coordinated investigation and prosecution of fraud against taxpayer dollars and taxpayer-funded programs. AAG Blanche acknowledged that, while DOJ has a “storied history of combatting fraud,” DOJ has “never adopted a comprehensive and coordinated approach to investigating and prosecuting fraud against taxpayer dollars and tax-payer funded programs.” The NFED was created to close that gap with its core mission being to “zealously investigate and prosecute those who steal or fraudulently misuse taxpayer dollars.”...