U.S. Attorney’s Offices in RI and Texas Resolve Violation of False Claims Act, Recovering Over $465K

U.S. Attorney’s Offices in RI and Texas Resolve Violation of False Claims Act, Recovering Over $465K

The United States Attorney’s Offices for the District of Rhode Island and the Southern District of Texas have resolved a civil investigation into RPS Group, Inc, a global professional services firm, that will result in a recovery of over $465,000, announced United States Attorneys Zachary A. Cunha and Alamdar S. Hamdani.

About Investigation

The investigation focused on allegations that between June 2011 and July 2020, in order to maximize revenue and avoid hitting budgetary ceilings, RPS Group, Inc., which held several contracts with the federal government, unlawfully engaged in a practice of moving recorded labor hours between government projects with different funding sources; that RPS submitted invoices for work that was not performed on government contracts; and that RPS falsely inflated employee billing rates. The government alleges that these practices occurred across numerous government contracts and resulted in the submission of false invoices to multiple government agencies.

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The government alleges that this conduct, brought to the government’s attention both through a corporate disclosure by RPS and through complaints raised by four former employees, violated the False Claims Act. As part of a civil settlement, RPS Group, Inc., will pay the U.S. Government $465,293

At the time of the conduct alleged in this matter, RPS Group’s headquarters in the United States were located in Houston, Texas, with a subsidiary in North Kingstown, Rhode Island. The company has since been acquired by another firm.

Who Was Involved in Case

Assistant U.S. Attorneys Bethany Wong of the District of Rhode Island and Jill Venezia of the Southern District of Texas litigated this matter.

The case was investigated by the Department of Commerce, Office of Inspector General; Army Criminal Investigation Division; Coast Guard Investigative Service; General Services Administration Office of Inspector General; National Aeronautics and Space Administration Office of Inspector General; Department of Defense Criminal Investigative Service; Environmental Protection Agency Office of Inspector General; Department of Interior  Office of Inspector General; and Naval Criminal Investigative Service.