WASHINGTON. – Insight Public Sector, Inc., a company providing technology products and services to federal government agencies, has agreed to pay the United States $1 million to settle false claims allegations. The government alleged that a predecessor corporation, Comark Government & Education Services (CGES), falsely certified itself as a “small business” on its application for inclusion on the General Services Administration’s Multiple Award Schedule (MAS).
"Government agencies should be able to trust companies when they provide information necessary in awarding contracts," said Peter D. Keisler, Assistant Attorney General of the Justice Department's Civil Division. “This settlement is an example of the Justice Department's determination to ensure that federal funds are protected from fraud and abuse."
The settlement arises out of a complaint made to the Small Business Administration (SBA) that CGES obtained a preference in regard to the award of certain purchase orders under the MAS by falsely certifying that it was a small business. The SBA’s Office of Inspector General, in conjunction with the General Services Administration’s Office of Inspector General and the Department of Justice, conducted a two-year investigation, concluding that CGES had misrepresented its size status on its 1996 application for inclusion on the MAS.
Insight’s parent corporation acquired CGES in 2002 and withdrew the small business certification under the MAS in 2005. Insight is based in Tempe, Ariz.