KBR Inc. (KBR: Quote) announced that the United States has voluntarily dismissed its False Claims Act case it filed against the company.
On April 1, 2010, the United States sued KBR for damages claiming that KBR had violated the False Claims Act by billing under LOGCAP III, which is KBR's logistics support contract with the Army. These costs were associated with armed private security contractors in Iraq.
KBR said it has faithfully supported American troops in Iraq and has performed its work in support of the Army with professionalism and in full compliance with its contract and the law. KBR has maintained that the LOGCAP contract did not prohibit the use of private security contractors.
The use of armed private security contractors was both reasonable and necessary given the dangerous, life-threatening conditions under which KBR and its subcontractors were asked to perform in Iraq.
by RTT Staff Writer
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