Formerfedsgroup.Com

04/27/2026

We’ve recently had success referring qui tams to the government on behalf of whistleblowers and helping companies make voluntary disclosures for leniency.
Today, the SBA referred 562,000 borrowers to for collection on $22.2 BILLION in potentially fraudulent pandemic-era loans — marking the LARGEST debt referral in SBA history.

This action ends a yearslong de facto amnesty scheme by the Biden SBA, which refused to refer the portfolio to either Treasury or DOJ, even though the loans were both delinquent and internally flagged for suspected fraud.

Under the protection of the Biden Administration, none of the borrowers were compelled to repay their debts and fewer than 1,000 faced any inquiry from law enforcement — until today.

This historic referral would not have been possible without the strong support of the White House Anti-Fraud Task Force. The SBA is deeply grateful for the leadership of , , and the partnership of both Treasury and DOJ — which now has the files for review.

We will continue working to claw back every dollar of PPP and COVID EIDL funding owed to American taxpayers and work in lockstep with the Task Force to bring accountability to every criminal who defrauded America’s small businesses.

Read the full story:

The SBA says it referred 562,000 suspected fraudulent pandemic loans totaling over $22.2 billion to the Treasury, accusing the Biden era of ignoring fraud.

12/25/2025

12/25/2025

12/24/2025

Massie is a real one. Trump and his donor owners should be ashamed for trying to run him out of Congress.

09/03/2025

09/03/2025

08/01/2025

🚨 DOJ Ramps Up Whistleblower Incentives and Clarifies Corporate Enforcement Benefits 🚨

The U.S. Department of Justice is intensifying its fight against corporate misconduct with new whistleblower rewards programs in the Antitrust and Criminal Divisions, plus revisions to the Corporate Enforcement and Voluntary Self-Disclosure Policy (CEP).

Key highlights:

• Criminal Division’s Expanded Pilot: Rewards for tips on priority areas like cartel/TCO violations, immigration fraud, terrorism support, sanctions, trade fraud, and procurement fraud—leading to forfeitures over $1M.

• Antitrust Division’s New Program: 15-30% rewards for original info on antitrust crimes resulting in $1M+ recoveries, in partnership with USPS.

• Revised CEP: Guarantees declinations for qualifying self-disclosures without aggravating factors; potential declinations even with aggravators; benefits like NPAs and fine reductions for good-faith reports; shorter resolution terms (≤3 years).

As Criminal Division head Matthew Galeotti emphasized: “Never before have the benefits of self-reporting and cooperating been so clear… You have the opportunity to see something, report something, and make sure your company can work with the Department to root out individual misconduct.”

For compliance pros: This underscores the value of robust internal reporting channels and proactive self-disclosure to mitigate risks and secure leniency.

Read the full analysis here: https://www.jdsupra.com/legalnews/analyzing-the-u-s-department-of-justice-6781123/

The Department of Justice (DOJ) in recent weeks unveiled a newly created whistleblower rewards program within its Antitrust Division and an expanded...

08/01/2025

🚨 Strengthening Government Oversight: SBA Takes a Stand Against Fraud in Federal Contracting 🚨

In a clear signal that the current administration is prioritizing the fight against fraud, waste, and abuse, SBA Administrator Kelly Loeffler has issued a formal letter of warning to federal contracting officers. This move urges them to report suspected misconduct, reinforcing accountability in the 8(a) Business Development Program following a DOJ investigation that uncovered over $550 million in fraudulently awarded contracts.

As Loeffler stated: “Our 8(a) contracting officers have a legal responsibility to uphold the law and protect taxpayer dollars… Today, we’re putting them on notice – that we will no longer tolerate the self-dealing and fraud that was allowed to proliferate under the Biden Administration.”
This initiative, coupled with an ordered full-scale audit of high-dollar contracts over the past 15 years, exemplifies how government agencies are ramping up procedures and enforcement to safeguard taxpayer funds and ensure merit-based awards. It’s a welcome step toward greater transparency and integrity in federal procurement.

A timely reminder for contractors and agencies alike: Compliance and ethical practices are non-negotiable in today’s landscape.
Read more in the full article here: https://executivegov.com/articles/sba-8a-business-development-kelly-loeffler-contracts-fraud

The letter of warning reminded contracting officers of their responsibility to uphold the law and protect taxpayer dollars.

08/01/2025

🚨 Breaking News in Genomics and Cybersecurity Compliance 🚨

Illumina Inc., a leading genomics company, has agreed to pay $9.8 million to settle allegations under the False Claims Act for selling genomic sequencing systems with cybersecurity vulnerabilities to federal agencies between 2016 and 2023. The U.S. government contended that Illumina failed to integrate proper cybersecurity in software design, lacked adequate security programs, and misrepresented adherence to standards like those from ISO and NIST—potentially risking sensitive genetic data.
This case originated from a whistleblower lawsuit filed by former Illumina Director Erica Lenore, who will receive $1.9 million as her share. It underscores the severe consequences of neglecting cybersecurity in critical tech sold to the government.

As Assistant Attorney General Brett A. Shumate stated: “Companies that sell products to the federal government will be held accountable for failing to adhere to cybersecurity standards and protecting against cybersecurity risks. This settlement underscores the importance of cybersecurity in handling genetic information.”

A vital reminder for biotech, healthcare, and defense sectors: Prioritizing robust cybersecurity isn’t just best practice—it’s essential for compliance, protecting sensitive data, and avoiding hefty penalties.

Read the full DOJ press release here: https://www.justice.gov/opa/pr/illumina-inc-pay-98m-resolve-false-claims-act-allegations-arising-cybersecurity

Illumina Inc. has agreed to pay $9.8 million to resolve allegations that it violated the False Claims Act when it sold to federal agencies certain genomic sequencing systems with cybersecurity vulnerabilities. Illumina is a Delaware corporation, headquartered in California, that manufactured and sol...

08/01/2025

🚨 Breaking News in Defense Contracting and Cybersecurity Compliance 🚨

California-based defense contractor Aero Turbine Inc. and private equity firm Gallant Capital Partners LLC have agreed to a $1.75 million settlement to resolve allegations under the False Claims Act. The case stems from failures to meet cybersecurity requirements in a U.S. Air Force contract, including non-compliance with NIST SP 800-171 standards and unauthorized sharing of sensitive defense information with a foreign software company.

🚨Key takeaway: The DOJ praised the companies for their voluntary self-disclosure🚨, full cooperation, and prompt remedial actions, which helped mitigate penalties. This highlights the critical role of proactive compliance and transparency in protecting national security.
As Assistant Attorney General Brett A. Shumate noted: “When defense contractors fail to comply with cybersecurity requirements, they can mitigate the consequences by making timely self-disclosures, cooperating with investigations, and taking prompt remedial measures.”
A reminder for all in the defense and tech sectors: Robust cybersecurity isn’t optional—it’s essential to safeguarding sensitive data and maintaining trust in government partnerships.
Read the full DOJ press release here: https://www.justice.gov/opa/pr/california-defense-contractor-and-private-equity-firm-agree-pay-175m-resolve-false-claims

Defense contractor Aero Turbine Inc., of Stockton, California, and private equity company Gallant Capital Partners LLC, of Los Angeles, have agreed to pay $1.75 million to resolve their liability under the False Claims Act for knowingly failing to comply with cybersecurity requirements in an Aero Tu...