Taleo Corp., a California corporation, agreed on Wednesday to pay $6.49 million to resolve allegations that it had violated the False Claims Act in its provision of software services to a human resources contractor for the Transportation Security Administration.  Taleo, as a subcontractor for CPS Human Resources, is alleged to have agreed that it would charge commercial list rates for its services – typically a function of the number of employees – and would provide a discount.  Taleo allegedly declined to use its normal procedure to calculate the commercial list rate, which resulted in a higher rate and increased charges to the TSA.

The allegations resolved in the action were brought to attention by a former Taleo employee under the qui tam whistleblower provisions of the False Claims Act.  In its press release, the Department of Justice described the False Claims Act as a powerful enforcement tool, noting that it had recovered $7.5 billion under the Act since January 2009.

Read the entire press release, California-Based Taleo Corp. Agrees to Pay U.S. $6.49 Million to Resolve False Claims Act Allegations