The Billion Dollar Fleece of Taxpayers at DHS

There are defined dollars assigned to projects, when there is no enough money or the timeline for completion is missed, who says stop and inspects why? What have members of Congress been told, if anything? Who spends a billion dollars with no results? Sure, this Federal government. The same playbook applied to Obamacare and countless other government operations. Where is the outrage and will this too head to the House Oversight and Government Reform Committee for investigation?

It should be noted that the Ellis Island did this successfully as did Ancestry.com.

A decade into a project to digitize U.S. immigration forms, just 1 is online

WaPo: Heaving under mountains of paperwork, the government has spent more than $1 billion trying to replace its antiquated approach to managing immigration with a system of digitized records, online applications and a full suite of nearly 100 electronic forms.

A decade in, all that officials have to show for the effort is a single form that’s now available for online applications and a single type of fee that immigrants pay electronically. The 94 other forms can be filed only with paper.

This project, run by U.S. Citizenship and Immigration Services, was originally supposed to cost a half-billion dollars and be finished in 2013. Instead, it’s now projected to reach up to $3.1 billion and be done nearly four years from now, putting in jeopardy efforts to overhaul the nation’s immigration policies, handle immigrants already seeking citizenship and detect national security threats, according to documents and interviews with former and current federal officials.

From the start, the initiative was mismanaged, the records and interviews show. Agency officials did not complete the basic plans for the computer system until nearly three years after the initial $500 million contract had been awarded to IBM, and the approach to adopting the technology was outdated before work on it began.

By 2012, officials at the Department of Homeland Security, which includes USCIS, were aware that the project was riddled with hundreds of critical software and other defects. But the agency nonetheless began to roll it out, in part because of pressure from Obama administration officials who considered it vital for their plans to overhaul the nation’s immigration policies, according to the internal documents and interviews.

Only three of the agency’s scores of immigration forms have been digitized — and two of these were taken offline after they debuted because nearly all of the software and hardware from the original system had to be junked.

The sole form now available for electronic filing is an application for renewing or replacing a lost “green card” — the document given to legal permanent residents. By putting this application online, the agency aimed to bypass the highly inefficient system in which millions of paper applications are processed and shuttled among offices. But government documents show that scores of immigrants who applied online waited up to a year or never received their new cards, disrupting their plans to work, attend school and travel.

“You’re going on 11 years into this project, they only have one form, and we’re still a paper-based agency,’’ said Kenneth Palinkas, former president of the union that represents employees at the immigration agency. “It’s a huge albatross around our necks.’’

DHS officials acknowledge the setbacks but say the government is well on the way to automating the immigration service, which processes about 8 million applications a year. The department has scrapped the earlier technology and development method and is now adopting a new approach relying in part on cloud computing.

“In 2012, we made some hard decisions to turn the Transformation Program around using the latest industry best practices and approaches, instead of simply scratching it and starting over,’’ said Shin Inouye, a spokesman for Citizenship and Immigration Services. “We took a fresh start — a fix that required an overhaul of the development process — from contracting to development methodology to technology.’’

“Since making these changes, we have been able to develop and deploy a new system that is able to process about 1.2 million benefit requests out of USCIS’s total annual work volume,” Inouye added. “Our goals remain to improve operations, increase efficiency, and prepare for any changes to our immigration laws. Based on our recent progress, we are confident we are moving in the right direction.”

Other DHS officials emphasized that if Congress passes immigration reform in the near future, they would have an electronic system that could accommodate any significant changes, including a surge in demand from immigrants seeking legal status.

Until then, immigrants and their lawyers say they will remain hugely frustrated by the government’s archaic, error-plagued system. Processing immigration applications now often involves shipping paper documents across the country, and delays are legend. A single missing or misplaced form can set back an approval by months.

“It’s shameful that they’ve been on this for a decade and haven’t been able to get a working system in place,’’ said Vic Goel, an immigration lawyer in Reston, Va., who has followed the computerization project as a liaison for the American Immigration Lawyers Association.

Online forms get pulled

When the electronic immigration system began in May 2012, it was hailed as “a significant milestone in our agency’s history” by the USCIS Director Alejandro Mayorkas, who is now the deputy secretary of homeland security.

The first form that went live was intended for foreigners who were in the United States on certain types of visas who wanted to renew their non-immigrant status.

But only a fraction of applicants ever used that form before the agency took it offline, after officials decided to abandon the initial technology and development method and move toward a cloud-based system. Some officials inside DHS said the system should never have been launched at all because of reports that it was suffering from so many technical errors.

The second form, released in 2013, didn’t fare much better. It was designed to allow a certain group of foreigners — those wanting to immigrate to the United States and invest in a business — to apply electronically. Only about 80 people used the online form, DHS officials said. More than 10,000 others opted for old-fashioned paper. It was also pulled.

The third form, which debuted last year, is the one that would allow permanent residents to renew or replace their green cards online. In nearly 200 cases, applicants did not receive their cards or had to wait up to a year, despite multiple requests, according to a June report from the USCIS ombudsman.

The agency also hoped to make it possible for immigrants to pay fees online. There are more than 40 kinds of filing fees that immigrants pay to the government with their applications. As of now, however, only one can be paid online — by those who immigrate to the United States as lawful permanent residents. And even this limited electronic payment system has encountered major problems, such as resistance from immigrants who have trouble because they may not have computers or bank accounts.

A series of government reports has skewered the online immigration system, named ELIS after Ellis Island, even after the old technology was scrapped and officials were scrambling to move to the new cloud-based approach. These studies have found that it is slow, confusing and inefficient for immigrants and government employees alike.

A report last year from the DHS inspector general’s office said it sometimes took up to 150 clicks for employees to navigate the system’s various complex features and open documents — and that the system lacked functions as basic as a usable search engine. Internal DHS evaluations have warned of “critical engineering uncertainties” and other difficulties.

“It’s in­cred­ibly slow to use the few forms they put online,’’ said Goel, the immigration lawyer. “Most immigration lawyers have concluded the system is half-baked.’’

‘It wasn’t going to work’

Government watchdogs have repeatedly blamed the mammoth problems on poor management by DHS, and in particular by the immigration agency.

When the project began, DHS was only two years old, cobbled together after the Sept. 11 attacks from myriad other government agencies, and the department was still reeling. “There was virtually no oversight back then,’’ a former federal official said. “DHS was like the Wild West on big acquisitions.”

The Government Accountability Office has blasted the immigration service for shoddy planning, saying the agency awarded the IBM contract “prior to having a full understanding of requirements and resources needed to execute the program.” As a result, basic planning documents were incomplete or unreliable, including cost estimates and schedules. The basic requirements for the project, the report said, were not completed until 2011 — nearly three years after the IBM contract was awarded.

IBM had as many as 500 people at one time working on the project. But the company and agency clashed. Agency officials, for their part, held IBM responsible for much of the subsequent failure, documents show.

The company’s initial approach proved especially controversial. Known as “Waterfall,” this approach involved developing the system in relatively long, cascading phases, resulting in a years-long wait for a final product. Current and former federal officials acknowledged in interviews that this method of carrying out IT projects was considered outdated by 2008. “The Waterfall method has not been successful for 40 years,” said a current federal official involved in the project, who was not an authorized spokesperson and spoke on the condition of anonymity.

An IBM spokesman declined to address the criticisms, saying only that the company’s work on Transformation concluded in May.

By 2012, the system’s fundamental flaws — including frequent computer crashes and bad software code — were apparent to officials involved with the project and, according to one of them, and it was clear that “it wasn’t going to work.”

But killing the project wasn’t really an option, according to officials involved at the time. President Obama was running for reelection and was intent on pushing an ambitious immigration reform program in his second term. A workable electronic system would be vital.

“There was incredible pressure over immigration reform,” a second former official said. “No one wanted to hear the system wasn’t going to work. It was like, ‘We got some points on the board, we can go back and fix it.’”

Delays and lost papers

Immigration reform never made it out of Congress, but it could resurface after the presidential election next year. If it does, and if it involves possible citizenship or legal status for the 11.3 million immigrants who are in the country illegally, the policy would flood the government with millions of complicated new applications.

“Oh, God help us,’’ said Harry Hopkins, a former immigration services official who worked on the Transformation project. “If there is immigration reform, they are going to be overwhelmed.’’

The project’s failures already have daily consequences for millions of immigrants who are in the country legally. Immigration lawyers say the current system leads to lost applications, months-long delays and errors that cause further delays. Immigrants miss deadlines for benefits, meaning they lose everything from jobs and mortgages to travel opportunities.

Luke Bellocchi, an immigration lawyer and former deputy ombudsman at Citizenship and Immigration Services, said he has handled at least 100 cases of lost applications in the past few years, mostly for green cards.

“No one knows where these applications are,” he said. “It’s an absolute nightmare.’’

Another concern is national security. DHS officials said they are confident that the current paper-based system is not putting the nation at risk. But others, like Palma Yanni, a D.C. immigration lawyer and past president of the American Immigration Lawyers Association, are dubious.

“If there are some bad apples in there who should not get a green card, who are terrorists who want to do us harm, how on earth are they going to find these people if they’re sending mountains of paper immigration files all over the United States?’’ Yanni asked.

No Govt Agency Exempt from Fleecing Taxpayer Dollars

We don’t even know what we don’t know and further what we think we know, we don’t really know either.

There is not a government agency throughout the entire Federal system that is not teeming with waste, fraud or abuse of our taxpayer dollars. One would easily be in the constant state of shuttering when it comes to contemplating the billions that go unaccounted for.

The mission of the House Oversight and Government Reform Committee headed previously by Darryl Issa and presently with Jason Chaffetz attempts in earnest to uncover and investigate and perhaps refer for prosecution those in government guilty of malfeasance, yet the co-chair of the committee, Elijah Cummings leads his side to obstruct the duty of the committee at every turn. In fact Cummings and his crowd never find any dereliction of duty, corruption or fraud.

Just consider, Fast and Furious, Secret Service prostitution scandal, Benghazi, Planned Parenthood, EPA, IRS and Operation Choke Point for some examples.

The job of accountability goes to a particular division at the Department of Justice where all the Inspector Generals are deployed to investigate and determine money success of programs. Inspector Generals also work outside the scope of the DoJ, with not much more comprehensive success.

The IG’s are the watchdogs and while most do stellar work, others not so much and still others are completely stonewalled when it comes to gaining access to receipts, contracts, agreements and so on.

DailyCaller:Federal watchdogs are urging Congress to make sure all inspectors general, not just those at Department of Justice, have unfettered access to all official documents their respective agencies produce.

The Council of Inspectors General for Integrity and Efficiency fired off a letter to top members of Congress Thursday encouraging Congress to reiterate through new legislation that the 1978 Inspector General Act already entitles IGs to all agency records.

The letter comes two days after the Justice Department’s Office of Legislative Affairs asked Congress to pass legislation specifying that only the DOJ IG is entitled to all department records. Previously, the DOJ Office of Legal Counsel denied the department’s IG access to wiretapped communications or grand jury testimony.

But the proposed fix is too little, too late, for an IG community where other federal watchdogs are facing similar access problems.

As yet another example where dollars add up, most recently is a report on FEMA.

FEMA can’t account for up to $4.56M Sandy fuel funds

FNC: The Federal Emergency Management Agency can’t adequately account for more than 70 percent of the money spent on fuel for New York in the aftermath of superstorm Sandy, a federal audit released on Friday found.

FEMA spent $6.37 million for 1.7 million gallons of fuel as a gasoline shortage crippled the New York City area after the October 2012 storm, according to the audit from the Office of Inspector General at the Department of Homeland Security.

But the audit found “incomplete and questionable” documentation for $4.56 million of that spending. Additionally, $1.81 million worth of fuel went to recipients outside the scope of work that FEMA established for the crisis, the audit found. As a result, FEMA can’t be sure any of that fuel went to approved power restoration or emergency public transportation work in New York, the audit said.

Officials at FEMA agreed with all of the report’s recommendations, which include recovering lost funds and devising new procedures, according to the audit.

A spokeswoman for FEMA said: “FEMA concurred with all of the OIG recommendations for rectifying the issues identified in their recent report and improving mission assignment effectiveness going forward. FEMA takes seriously its duty to ensure fiscal responsibility during disaster relief operations, and has been reimbursed by New York for more than $2.1 million.”

New York state collected the $1.8 million, plus interest, from the retail gas stations that were the wrongful recipients of the fuel and reimbursed FEMA, the Dept. of Homeland Security said. Sandy, one of the most powerful Atlantic storms on record, knocked out power to gas stations, caused widespread flooding and cut gasoline-supply lines from ports.

Gasoline shortages emerged as one of the biggest problems for the region after the storm passed. At the time, the federal government estimated that only one-third of gas stations in the metropolitan area had fuel for sale, based on a survey that found more than half were shut down.

FEMA stepped up to provide fuel for urgent power restoration and transportation needs.

The unaccounted fuel deliveries occurred because FEMA didn’t comply with federal regulations requiring the agency provide proper documentation accounting for its work, the audit found.

Click for more from The Wall Street Journal

 

Hillary DID Sign the NDA

The FBI is still investigating Hillary yet some interesting items continue to surface and even perhaps be leaked.

Remember when Jen Psaki at the State Department said she did not know whether Hillary signed the appropriate documents on protecting classified material? Heh, well low and behold, Hillary did as is evidenced below.

Hillary Clinton's SCI Nondisclosure Agreement

Thanks to FreeBeacon and DailyMail: Hillary signed State Department contract saying it was HER job to know if documents were classified top secret, and laid out criminal penalties for ‘negligent handling’

  • Clinton signed ‘Sensitive Compartmented Information Nondisclosure Agreement’ on her second day at the State Department
  • It says she was personally responsible for determining if sensitive documents in her possession were classified at the highest level
  • Spelled out criminal laws under which she could be prosecuted
  • Hillary has said on the campaign trail that top-secret classified info found on her private email server wasn’t classified originally and it wasn’t her job to know better 

 

 

Hillary Clinton‘s claim that she was unaware top secret documents on her private email server were highly classified took a hit on Friday, with the revelation of a State Department contract she signed in 2009.

The ‘Sensitive Compartmented Information Nondisclosure Agreement,’ which Clinton inked during her second day as Secretary of State, declared that she was personally responsible for determining if sensitive documents in her possession were classified at the government’s highest level.

‘I understand that it is my responsibility to consult with appropriate management authorities in the Department … in order to ensure that I know whether information or material within my knowledge or control that I have reason to believe might be SCI.’

SCI – Sensitive Compartmented Information – is the highest level of ‘top secret’ classification, applying to information so sensitive because of the sources and methods used to obtain it that it can only be viewed in a special room, hardened against electronic eavesdropping, constructed for that purpose. The agreement Clinton signed in 2009, which warns against ‘negligent handling’ of state secrets, conflicts with her more recent positions on the presidential campaign trail.

Clinton has said none of the hundreds of classified documents found among emails on her unsecured server were classified at the time she sent or received them, and suggested that without a marking from intelligence officials, she wasn’t expected to know what is classified.

The libertarian Competitive Enterprise Institute think-tank obtained the document with Hillary’s signature, which the State Department declassified on Thursday, and gave it to the conservative Washington Free Beacon.

‘I have been advised that the unauthorized disclosure, unauthorized retention, or negligent handling of SCI by me could cause irreparable injury to the United States or be used to advantage by a foreign nation,’ the agreement Clinton signed states.

The U.S. Intelligence Community’s inspector general has said two of the Clinton emails released by the State Department so far in complying with a federal judge’s order contained SCI-level information, and had to be sanitized by experts before they could be published.

A spokesman for Hillary’s presidential campaign did not respond to DailyMail.com’s request for comment on Friday.

But the text of the agreement spells out plainly that Clinton agreed she was responsible for seeking help if she wasn’t clear about what was classified at the SCI level.

It also spelled out what might happen if she broke the terms of the contract.

‘I have been advised that any breach of this Agreement may result in my termination of my access to SCI and removal from a position of special confidence and trust requiring such access,’ the agreement reads, ‘as well as the termination of my employment or other relationships with my Department of Agency that provides me with access to SCI.’

‘In addition,’ she agreed, ‘I have been advised that any unauthorized disclosure of SCI by me may constitute violations of United States criminal laws, including provisions of Sections 793, 794, 796, and 952, Title 18, United States Code; and of Section 783(b), Title 50, United States Code.’

‘Nothing in this Agreement constitutes a waiver by the United States of the right to prosecute me for any statutory violations.’

Government officials who sign the same document Clinton signed acknowledge ‘agree that I shall return all materials that may have come into my possession or for which I am responsible because of such access, upon demand by an authorized representative of the United States Government or upon the termination of my employment.’

Clinton never returned her email server to the federal government. She housed it in her Chappaqua, New York home while she was America’s top diplomat, and then moved it when she left the Obama administration – entrusting it to a Colorado company that was not cleared to handle SCI-level documents.

The State Department acknowledged in September that Clinton’s home-brew server also was never authorized to handle such information.

The FBI is currently investigating Hillary’s email mess, in an information dragnet that has also roped in her former chief of staff Cheryl Mills and current top campaign aide Huma Abedin.

Both of those women also signed the DCI nondisclosure agreement.

*** One more thing, there were at least 5 attempts, perhaps even successful by the Russians hacking into Hillary’s emails.

Senator Cruz Lights the Fuse Against Terrorism

Cruz joins fight to label Muslim B’hood ‘terrorist organization’

Sen. Ted Cruz and several House Republicans are leading a new legislative effort aimed at compelling the U.S. government to label Egypt’s Muslim Brotherhood a “foreign terrorist organization.”

“This bill recognizes the simple fact that the Muslim Brotherhood is a radical Islamic terrorist group,” Cruz said upon the introduction of his Senate version of the bill. “A number of our Muslim allies have taken this common sense step, including Egypt, Saudi Arabia, and the [United Arab Emirates].”

“The group supports and stands behind numerous terrorist organizations that are responsible for acts of violence and aggression,” said Rep. Mario Diaz-Balart, R-Fla., the lead House sponsor. “It is time for Congress and the Department of State to recognize and sanction them as they deserve, as a foreign terrorist organization.”

The bill, the Muslim Brotherhood Terrorist Designation Act, asks Secretary of State John Kerry to label the organization a foreign terrorist organization within 60 days, or to present a report to Congress detailing why he opted against doing so. Much more here. To read the proposed Senate legislation titled:   To require the Secretary of State to submit a report to Congress on the designation of the Muslim Brotherhood as a foreign terrorist organization, and for other purposes.

 

Nearly 200 U.S. troops have been killed and nearly 1,000 injured by Iranian-made explosives in Iraq, according to new disclosures from a partially declassified report conducted by U.S. Central Command and described by sources to the Washington Free Beacon.

The number of U.S. deaths resulting from Iranian terrorism were revealed for the first time on Wednesday by Sen. Ted Cruz (R., Texas) during a hearing focusing on the Obama administration’s failure to prosecute terrorists directly responsible for the deaths of Americans.

At least 196 U.S. service members fighting in Iraq were killed directly as a result of Iranian-made explosively formed penetrators, or EFPs, according to Cruz and congressional sources familiar with Centcom’s mostly classified report.

The deaths took place between 2003 and 2011. The Iranian explosive devices wounded another 861 U.S. soldiers, and a total of 1,534 attacks were carried out on U.S. military members over this period, according to sources familiar with the report, which was provided to Cruz’s office.

The explosive devices are a “hallmark weapon” of Iran’s Quds force, a paramilitary group that operates outside of Iran’s borders, according to sources familiar with the report. It has been determined that only Iranian-backed operatives use these weapons in Iraq.

U.S. military leaders disclosed in testimony before the Senate that Iranian terror activities have claimed the lives of around 500 U.S. soldiers, which accounts for at least 14 percent of all American casualties in Iraq from 2003 to 2011.

“That blood is on Iran’s hands,” Cruz said Wednesday afternoon during a hearing on the Obama administration’s decision to not prosecute terrorists who have murdered American citizens and troops abroad.

“Iran has been and still is at war with the U.S.,” Cruz said. “Yet despite the slaughter and maiming of an untold number of America citizens … the U.S. government has rather shockingly failed time and time again to fulfill its sovereign duty to obtain justice for its citizens. Our government has failed terror victims in a number of ways.”

Palestinian terrorists, many of them supported by Iran, have killed more than 53 Americans. The Department of Justice has not prosecuted a single person, Cruz said.

Those testifying at the hearing said they were alarmed by the government’s hesitation to prosecute terror cases.

“The greatest pain that victims and their families have is watching another incident take place, watching another death,” said Aegis Industries CEO Kenneth Stethem, whose brother, Robert, was killed during the 1985 hijacking of a TWA flight by Iranian-backed Hezbollah terrorists.

“I would like to know if the administration has asked Iran if they’re still at jihad,” Stethem said, adding that separating Iran from terrorism is “like separating light from a flame and heat from a fire.”

“Is it sound policy to give money to a terrorist nation that is at war with us?” Stethem asked, referring to the more than $150 billion in cash assets that will be released to Iran as a result of the recent nuclear accord.

Stethem also said he was concerned by the Obama administration’s failure to hold Iran accountable for recent violations of the accord, which include the testing of ballistic missiles.

“I’d just like to see some accountability,” he said. “And Congress must do it because the administration isn’t.”

Daniel Miller, a victim of Hamas terrorism, recalled how suicide bombers destroyed the Jerusalem café that he and his friends were dining at.

Miller said that he and other victims of Iran-sponsored terrorism attempted to sue the Islamic Republic. After winning more than $70 million in damages, the U.S. government stepped in to argue on Iran’s behalf.

“I expected a battle from Iran” to get the money legally owed, Miller said. “What I didn’t expect was the battle we faced from my own government.”

Lawyers from the Department of Justice filed a brief during one legal processing to protect Iran from having to pay the victims.

“On one side [of the courtroom] was my legal team representing victims of terrorism, and on the other side was the U.S. sitting with its newfound ally Iran,” Miller said.

He also said Obama administration “cares more about protecting Iranian assets than protecting its own terror victims.”

Cruz called the story “disgusting,” “shameful,” and “unacceptable.”

Others at the hearing criticized the Obama administration for interceding in a legal case in which American victims of Palestinian terrorists were awarded billions of dollars in damages. The administration argued in an unprecedented briefing to the court earlier this year that this money should not be paid out to the victims because it would financially cripple the Palestinian government.

 

Shake Your Head at This DoJ Case, Netcracker

Ever wonder where the NSA was on this? Ever wonder where the background check was for Netcracker as a bona fide government contractor? More fleecing that several people in the decision chain approved this.

USDOJ: Netcracker Technology Corp. and Computer Sciences Corp. Agree to Settle Civil False Claims Act Allegations  (The spin in this statement is in full testimony of how things operate in the Federal government, meanwhile the risk, well frankly the treasonous decision is epic.

 

Pentagon Farmed Out Its Coding to Russia

By Patrick Malone, Center for Public Integrity

The Pentagon was tipped off in 2011 by a longtime Army contractor that Russian computer programmers were helping to write computer software for sensitive U.S. military communications systems, setting in motion a four-year federal investigation that ended this week with a multimillion-dollar fine against two firms involved in the work.

The contractor, John C. Kingsley, said in court documents filed in the case that he discovered the Russians’ role after he was appointed to run one of the firms in 2010. He said the software they wrote had made it possible for the Pentagon’s communications systems to be infected with viruses.

Greed drove the contractor to employ the Russian programmers, he said in his March 2011 complaint, which was sealed until late last week. He said they worked for one-third the rate that American programmers with the requisite security clearances could command. His accusations were denied by the firms that did the programming work.

“On at least one occasion, numerous viruses were loaded onto the DISA [Defense Information Systems Agency] network as a result of code written by the Russian programmers and installed on servers in the DISA secure system,” Kingsley said in his complaint, filed under the federal False Claims Act in U.S. District Court in Washington, D.C., on March 18, 2011.

Asked to confirm that the Russians’ involvement in the software work led to the presence of viruses in the U.S. military’s communications systems, Alana Johnson, a spokeswoman for the Defense Information Systems Agency, declined to answer on the grounds that doing so could compromise the agency’s “national security posture.”

“It’s something that we take very seriously,” Johnson said in a telephone interview on Tuesday. “The Department of Defense’s posture on cybersecurity ultimately affects national security.”

Kingsley first told a Defense Information Systems Agency official on Jan. 10, 2011, that Russians had been doing computer programming for Massachusetts-based NetCracker Technology Corporation under a federal contract, through an arrangement that corporate officials referred to as its “Back Office,” he said in his complaint. He said the work had been done in Moscow and elsewhere in Russia.

The DISA official confirmed that the practice of outsourcing the work to employees in Russia violated both the company’s contract and federal regulations that mandate only U.S. citizens with approved security clearances work on classified systems, Kingsley’s complaint said.

On Monday, NetCracker and the much larger Virginia-based Computer Sciences Corporation—which had subcontracted the work—agreed to pay a combined $12.75 million in civil penalties to close a four-year-long Justice Department investigation into the security breach. They each denied Kingsley’s accusations in settlement documents filed with the court.

The agency’s inspector general, Col. Bill Eger, who had investigated Kingsley’s allegations, said the case was a good example of how his office combats fraud. In a separate statement released Monday, Channing D. Phillips, the U.S. Attorney for the District of Columbia, said that “in addition to holding these two companies accountable for their contracting obligations, this settlement shows that the U.S. Attorney’s Office will take appropriate measures necessary to ensure the integrity of government communications systems.”

The $22 million contract the companies were working on dates from 2008, when the Pentagon first asked Computer Sciences Corporation to fortify and administer the computer networks of the Defense Information Systems Agency. The agency supports battlefield operations by running communication systems that enable soldiers, officers, and coalition partners to communicate in secret.

Computer Sciences Corporation collected a total of $1.5 billion from the Pentagon in fiscal year 2014, according to the Federal Procurement Data System. The work at the heart of this case was part of a $613 million contract between the Defense Information Systems Agency and the corporation. Netcracker, which has done direct work for the Air Force and the General Services Administration, worked as a subcontractor on the deal.

In his complaint, Kingsley asserted that Computer Sciences Corporation executives knew about Netcracker’s work in Russia. But a corporation spokeswoman, in a written statement, denied it. “[Computer Sciences Corporation] believes it is as much a victim of NetCracker’s conduct as is our [Defense Information Systems Agency] customer and agreed to settle this case because the litigation costs outweigh those of the settlement,” Heather Williams wrote. “Security is of the utmost importance” to the corporation, she wrote.

Kingsley also said in his whistleblower complaint that when he questioned NetCracker’s general counsel about the propriety of the arrangement, the counsel assured him nothing was wrong. When he asked the company’s board of directors for permission to discuss the Russians’ participation with the Defense Information Systems Agency, his “requests were rebuffed,” he said in the complaint.

The next day, in an email to the board of directors at NetCracker Government Services, the company’s general counsel characterized Kingsley’s conversation with the government official as an “unscheduled, one-on-one meeting” that ended with a “vitriolic rampage” and left the Defense Information Systems Agency officer with the impression that Kingsley was a “lunatic,” according to Kingsley’s complaint. Kingsley said in his complaint that this description of the meeting was incorrect and intended to hurt Kingsley’s reputation with the company’s other board members.

Joanna Larivee, a spokeswoman for Netcracker, responded with a written statement that it “has cooperated fully with the Department of Justice throughout its review of this matter and explicitly denies liability for any wrongdoing. We have always taken responsible steps to ensure that best practices are deployed when managing client information and that NetCracker is compliant with the terms of our contracts. We have decided that it is in the best interest of all stakeholders to settle the matter.”

Of the total fines, NetCracker agreed to pay $11.4 million while the Computer Sciences Corporation agreed to pay $1.35 million. Under the False Claims Act, Kingsley’s share of the settlement is $2.3 million, according to the Justice Department.

Kingsley did not respond to a phone message left at his home in Fairfax, Virginia, on Tuesday. His lawyer, Paul Schleifman, said Kingsley spoke up about the Back Office in Russia because he was worried that it could harm national security. “[Kingsley] believes that his obligation is to the United States first,” Schleifman said, “not to his pocket.”

The settlement agreement leaves the door open for the Justice Department to pursue criminal charges based on Kingsley’s allegations. A Justice Department spokeswoman did not respond before deadline when asked whether any such charges are expected.