HP pays $55 million to settle kickback scandal
Summary
Topics
Hewlett-Packard has agreed to pay the U.S. government $55 million to settle charges that it paid kickbacks to technology partners for recommending HP products to federal agencies.
This final agreement, announced Monday by the Department of Justice, follows a tentative settlement reached earlier this month in which HP agreed in principle to resolve the case. The settlement closes the book on the DOJ's allegations that HP defrauded the General Services Administration (GSA) and other government agencies by paying "influencer fees" to third-party vendors.
The case stretches back to 2004 when two whistleblowers--Norman Rille, then a senior manager with Accenture, and Neal Roberts, a partner at PricewaterhouseCoopers--filed a civil complaint alleging that HP had doled out kickbacks. The suit, which also included Sun Microsystems and Accenture, was launched under provisions of the False Claims Act (PDF) in which private citizens can file actions regarding fraud on behalf of the U.S. and share in any money recovered.
For more of this story, read HP to pay $55 million to settle kickback allegations on CNET News.
Talkback Most Recent of 8 Talkback(s)
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RE: HP pays $55 million to settle kickback scandal
Things like this make me wonder how often these type of things happen but you never hear about - in not only public, but private enterprise too.
K B31st Aug 2010 -
Now, what SHOULD happen:
HP should be forbidden to be a government supplier for 3 years--enough time to decide that honesty really is the best policy. Otherwise, they just look at the fine (settlement ) as another cost of doing business, and jack their prices to recover the cost of getting caught. I'm sick of scumbags ripping me off.
TranMan31st Aug 2010 -
RE: HP pays $55 million to settle kickback scandal
Er ... isn't this just a kickback to the Justice Department in order to avoid prosecution? And who pays? Not the perpetrators but HP's shareholders and customers. Methinks something smells somewhat in the land of the free!
rogercchristie@...31st Aug 2010 -
what is even more funnier
Check the original story. It is possible that the two whistleblowers will share the $55 mil kickback with DOJ
pupkin_z31st Aug 2010 -
RE: HP pays $55 million to settle kickback scandal
Must be why when my HP part went bad they asked me to purchase another instead of honoring the warranty. They needed the extra cash. Now HP and Sony are on my S*** list.
lwhite@...31st Aug 2010 -
RE: HP pays $55 million to settle kickback scandal
[accidental duplicate]
JOHN_TUOHY1st Sep 2010 -
RE: HP pays $55 million to settle kickback scandal
I'd love that law in Ireland; it would stop politicians covering eash others' a$$es.
DREAMLAND !!!!!......I could sue Senator Ivor Callely on behalf of the government and get a cut of his dodgy expenses claims.JOHN_TUOHY1st Sep 2010 -
RE: HP pays $55 million to settle kickback scandal
DREAMLAND !!!!!......I'd love that law in Ireland; it would stop politicians covering eash others' a$$es.
What red blooded Irishman wouldn't love to sue Senator Ivor Callely on behalf of the government and get a cut of his dodgy expenses claims....JOHN_TUOHY1st Sep 2010
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