Consolidated Nuclear Security LLC (CNS) has agreed to pay $18.4 million to settle allegations of timecard fraud involving the National Nuclear Security Administration (NNSA) at the Pantex Site near Amarillo, Texas. The settlement comes after CNS was accused of knowingly submitting false claims for work not performed between July 1, 2014, and June 30, 2020.
Principal Deputy Assistant Attorney General Brian M. Boynton emphasized the government's stance on the issue, stating, “We will not tolerate the misuse of public funds by those who do business with the United States. Today’s settlement demonstrates that the Justice Department will ensure that government contractors fulfill their commitments particularly with respect to highly sensitive work on matters of national security.”
U.S. Attorney Leigha Simonton for the Northern District of Texas reinforced the accountability of government contractors, saying, “Taxpayers should never be on the hook for the cost of work that was not performed. Government contractors who misrepresent hours will be held accountable.”
The settlement acknowledged that certain production technicians at the Pantex Plant had recorded hours on their timesheets that were not worked, leading to the United States paying CNS for those unworked hours. The resolution credited CNS for its cooperation and remediation efforts in line with the department’s guidelines for False Claims Act cases.
The coordinated effort of the U.S. Attorney’s Office for the Northern District of Texas, Civil Division’s Commercial Litigation Branch, and the Department of Energy, Office of the Inspector General, led to the settlement. Assistant U.S. Attorneys Ken Coffin and Brian Stoltz for the Northern District of Texas, along with Senior Trial Counsel Don Williamson of the Justice Department's Civil Division, handled the matter.
It is important to note that the settlement does not constitute an admission of liability, as the claims have been regarded as allegations only.