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Accenture settles kickbacks lawsuit

By Nadine Arendse
Johannesburg, 22 Sept 2011

Accenture settles kickbacks lawsuit

PCWorld.

A 2004 lawsuit accused Accenture of receiving kickbacks from IT vendors, inflating prices and rigging bids on federal IT contracts.

The lawsuit was originally filed in the Eastern District of Arkansas by Norman Rille and Neal Roberts under whistleblower provisions of the federal False Claims Act, notes The Washington Post.

The government joined the suit in 2007, as it did in similar lawsuits against Hewlett-Packard and Sun Microsystems.

HP settled its lawsuit in August 2010, announcing the resolution would impact earnings by about $50 million. The company also denied any wrongdoing.

The Accenture settlement is the latest involving the same two whistleblowers, according to Business Insurance.

“Accenture has agreed to resolve allegations that it received kickbacks for its recommendations of hardware and to the government, fraudulently inflated prices and rigged bids in connection with federal information technology contracts,” the Justice Department said in a statement.

New York-based Accenture said: “The agreement is not an admission of liability by Accenture. Accenture continues to vigorously deny that there was any wrongdoing.”

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