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Whistleblower Lawsuit Exposes Computer Software Maintenance Fraud

CA, Inc., formerly known as Computer Associates, has agreed to pay  $11 million to resolve a False Claims Act lawsuit accusing it of overcharging the government for computer software maintenance services.

According to the whistleblower’s allegations, CA charged its customers for renewal plans immediately, even though they often had months  remaining under their current plans.  Through this practice, government customers who renewed their maintenance plans were double billed for the months remaining in their existing plans.

This whistleblower case was brought on behalf of the federal government, as well as New York, California, Florida, Hawaii, Illinois, Massachusetts, Nevada, Virginia and the District of Columbia.  The federal portion of the settlement amounts to $8 million, and the states will divide the rest based on the number of renewal plans purchased.

For more information on this case, click here:  http://www.ag.ny.gov/press-release/ag-schneiderman-announces-11-million-multi-state-settlement-over-fraud-claims-against.

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