DOJ and Aerojet Settle $9 Million Cybersecurity False Claims Act Case
The U.S. Department of Justice announced a $9 million settlement with federal government contractor Aerojet Rocketdyne, Inc. for alleged violations of the False Claims Act (FCA) in a case pending in the Eastern District of California. The settlement results from alleged false statements by Aerojet related to compliance with Department of Defense cybersecurity requirements described in DoD Federal Acquisition Regulation Supplement (DFARS) clause 252.204-7012 and National Aeronautics and Space Administration Federal Acquisition Regulation Supplement (NFARS) clause 1852.204-76.
The settlement further underscores DOJ’s commitment to FCA enforcement actions involving cybersecurity considerations related to its Civil Cyber-Fraud Initiative announced in October 2021. To that end, the settlement serves as a clear reminder to contractors that DOJ and the plaintiffs’ qui tam bar are taking the Cyber-Fraud