KeyPoint, Whistleblower Settle Security Clearance Fraud Suit

KeyPoint Government Solutions Inc. and a whistleblower settled a False Claims Act lawsuit alleging improper high-level security clearance investigations under an Office of Personnel Management contract, a district court said.

Judge Christine M. Arguello of the U.S. District Court for the District of Colorado dismissed the suit in a Monday order.

The parties’ stipulation of dismissal said the settlement isn’t an admission of liability by KeyPoint—now known as Peraton Risk Decision Inc.—and isn’t a concession by whistleblower Julie Reed that the claims aren’t well founded.

The settlement amount wasn’t disclosed. But a press release from Reed’s counsel said she will ...