Violation Tracker Individual Record

Company: 
EMC Corporation
Current Parent Company: 
Dell Technologies
Penalty: 
$87,500,000
Year: 
2010
Date: 
May 25, 2010
Offense Group: 
government-contracting-related offenses
Primary Offense: 
False Claims Act and related
Secondary Offense: 
kickbacks and bribery
Violation Description: 

EMC Corporation paid the United States $87.5 million to settle a lawsuit alleging that the information technology company violated the False Claims Act and the federal Anti-kickback Act. Specifically, the United States had alleged that the company represented during contract negotiations that, for each government order under the contract, EMC would conduct a price comparison to ensure that the government received the lowest price provided to any of the company's commercial customers making a comparable purchase. According to the government's complaint, EMC knew that it was not capable of conducting such a comparison, and so EMC's representations during the negotiations as well as its subsequent representations to GSA that it was conducting the comparisons were false or fraudulent.

Level of Government: 
federal
Action Type: 
agency action
Agency: 
Justice Department Civil Division
Civil or Criminal Case: 
civil
HQ Country of Parent: 
USA
HQ State of Parent: 
Texas
Ownership Structure of Parent: 
publicly traded
Major Industry of Parent: 
electrical and electronic equipment
Specific Industry of Parent: 
computers
Source Notes: 
If an online information source is not working, check the Violation Tracker Data Sources page for an updated link.
Parent company note: 
Parent-subsidiary relationship is current as of the most recent revision listed in the Update Log.