Level 3 Settles Fed Kickback Claims for $12.8 Million (Correct)

Level 3 Communications LLC will pay $12.8 million to resolve the U.S.'s allegations involving kickbacks paid to former employees in return for favorable treatment of subcontractors, and improperly obtained competitive bid information, the Justice Department said Friday.

The telecommunications company allegedly entered into contracts with the Department of Homeland Security and General Services Administration. The alleged kickbacks “undermine the federal procurement process,” said Raj Parekh, acting U.S. Attorney for the Eastern District of Virginia.

Under the GSA contract, Level 3 provided the Department of Defense’s inspector general with supplies and services.

The company subcontracted the work to two Florida-based companies ...