ADS Inc., a Virginia-based company that supplies equipment and logistics for the U.S. military’s search-and-rescue operations, has agreed to pay $16 million to resolve allegations that it fraudulently secured government contracts.
ADS obtained numerous contracts that were set aside for small businesses, in spite of the fact that the company made $1 billion from federal contracts alone in 2016, which hardly qualifies for the “small business” category.
ADS Scheme Exposed – Manufactured Front Companies
According to the Justice Department, ADS created a network of smaller companies in order to access contracts through federal programs meant to help small businesses secure them....