Judd Wire Inc. Agrees to Pay $1.014 Million to Settle False Claims Act Allegations for Failing to Test Wire and Cable Used By the United States

Judd Wire Inc., of Turners Falls, Massachusetts, has agreed to pay $1,014,000 to resolve allegations that it violated the False Claims Act by failing to perform tests required by specifications for certain wire and cable products used by the U.S. Navy. In connection with the settlement, the United States acknowledged that Judd Wire took significant steps entitling it to credit for cooperating with the government.

"It is essential to the safety and operational capabilities of the military that suppliers comply with applicable product specifications," said Assistant Attorney General Brett A. Shumate of the Justice Department's Civil Division. "When suppliers fail to comply with required specifications, they can mitigate the consequences by making timely self-disclosures, cooperating with investigations, and taking prompt remedial measures."

"The performance of safety tests of military equipment is a critically important part of taking care of our Sailors and Marines and the gear their lives and missions depend on," said General Counsel of the Department of the Navy David W. Denton Jr. "When contractors fail to do so they need to be held accountable. The Navy Acquisition Integrity Office will continue to expand our partnership with the Task Force to Eliminate Fraud on procurement fraud matters and take administrative action when appropriate."

The settlement resolves allegations that from September 2011 to August 2021, Judd Wire produced wire and cable products that were used by the United States, but failed to perform all tests required by each of the 29 wire and cable specifications covered by the settlement. Judd Wire voluntarily disclosed the testing lapses to the United States, cooperated with the U.S. investigation, and implemented remedial measures.

This year, the Administration launched the Task Force to Eliminate Fraud and the National Fraud Enforcement Division to enhance the Administration's war on fraud, waste, and abuse in federal programs. When unscrupulous actors exploit these programs for their own financial gain, they defraud the government, harm the people these programs are designed to aid and protect, and undermine American businesses that play by the rules. The Civil Division's FCA enforcement plays a critical role in combating such fraudulent schemes, recovering billions of dollars for the American taxpayers, and holding wrongdoers accountable. FCA matters will continue to be on the forefront of the battle against fraud, and the Civil Division's FCA work will support and advance the mission of the Task Force to Eliminate Fraud and the National Fraud Enforcement Division.

The resolution obtained in this matter was the result of a coordinated effort between the Justice Department's Civil Division, Commercial Litigation Branch, Fraud Section, and the U.S. Navy's Office of General Counsel, Acquisition Integrity Office. The matter was handled by Trial Attorney Greg Pearson of the Civil Division's Commercial Litigation Branch.

The claims resolved by the settlement are allegations only and there has been no determination of liability.