John Yliano Case Study

1999 Words 8 Pages
Preliminary Statement The Plaintiff John Yuliano is a former employee of Colonel Dynamo, Inc.’s accounting and billing department. Colonel Dynamo, Inc. is a defense contractor who conducts 90% of its business with the U.S. military. Yuliano noticed irregularities with CDI’s billing for a government project and brought this to the attention to the project managers. Yuliano’s employment was terminated during a wave of company layoffs. Yuliano threatened CDI with a lawsuit for fraud and age discrimination. Both parties reached a settlement where Yuliano would wave all claims against CDI for a financial settlement.
In response to the complaint CDI seeks the dismissal for Yuliano’s qui tam claim alleging fraud on the grounds that he is barred
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Allowing this claim to move forward would allow Yuliano to take advantage over CDI for a second time for the same claim. The settlement was the result of Yuliano’s threat of a lawsuit against CDI for fraud and age discrimination. The goal of the settlement was to avoid potential litigation from a former employee and negative impact litigation would have on CDI. CDI is a defense contractor with 90% of their business coming from the U.S. Government. CDI signed a contract with the Central Intelligence Agency to develop the technology to produce invisibility cloaks. The technology would provide revolutionary security for agents. Throughout the project CDI has billed the government for $10,000,000, these costs include research, development of prototypes and product testing. While there has been advances in development of this new technology the project has not been completed …show more content…
Yuliano was informed on January 29, 2014 that he had been laid off immediately, Yuliano threatened to sue CDI under the False Claims Act for fraud and age discrimination. After being laid off Yuliano took his research information to the FBI and they agreed to begin an investigation into the allegations. CDI concerned with the impact that a lawsuit can have on their operations began a negotiation for settlement to stop Yuliano from bring a claim against CDI. Both sides reached an agreement that states that in return for $400,000 Yuliano would waive all potential claims against CDI. Yuliano after signing this agreement has decided to file a claim against CDI for a violation of the FCA and for age

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