Engility unit pays $3.2 million to settle allegations of false labor charges

February 13, 2014

Contractor MPRI —which is now part of Chantilly-based Engility—has agreed to pay $3.2 million to resolve allegations that it submitted false labor charges on an Army contract, the Justice Department said Wednesday.

The Justice Department said the allegations stemmed from a whistleblower lawsuit filed by Byron Scott Lankford, who was employed by MPRI in Afghanistan between 2007 and 2009 as a finance officer and contract support official. Lankford is to receive $576,000 as his cut of the settlement.

The Justice Department alleged that MPRI falsely billed between March 2005 and October 2010 for employees who had not worked on its contract to help the Army improve Afghanistan’s national security sector. Among the responsibilities were helping develop and implement systems for the Afghan Ministry of Defense.

Under the settlement, there was no determination of liability and the claims remain allegations, the Justice Department said.

Engility said in a statement that the contract actions related to the settlement “took place under previous management more than two years before Engility was created.”

“The decision to settle was a business decision based upon the company’s desire to resolve the matter and move forward,” the statement added, noting that the company does not admit any liability.

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