The settlement resolves allegations that the company for more than a decade improperly charged government buyers for shipping, sold products manufactured in China and other companies prohibited by trade agreements and underreported sales, the Justice Department said in a statement. The Justice Department noted in its statement that “there has been no determination of liability.”
The allegations came out of a lawsuit filed in Illinois under whistleblower provisions, the department added. As a result, Joe Liotine, a former CDW-G sales representative, is set to receive $1.59 million of the money recovered.
CDW said in a statement that the company agreed to settle “to avoid the additional time, inconvenience and expense that would come with protracted litigation.
“It’s important to note that no fault was found in this case and CDW-G admits no wrongdoing and denies the basis for the claim,” the statement added.
Many employees on CDW-G’s federal sales team work out of the company’s Herndon office.