FORT WORTH, Texas – The American Alliance for Equal Rights, together with the United States, Florida and Indiana, announced a settlement with Deloitte that will see the consulting giant pay $23.9 million to resolve a whistleblower suit filed under the False Claims Act.
Background of the lawsuit
The Alliance, represented by Consovoy McCarthy PLLC, filed the complaint in the Northern District of Texas on behalf of a whistleblower identified only as “Member A.” The complaint alleged that Deloitte’s contracts with the federal government required the firm to certify compliance with anti‑discrimination statutes at both the state and federal level. According to the Alliance, Deloitte knowingly certified compliance while continuing practices that discriminated against employees on the basis of race and sex.
Settlement terms
Under the settlement, Deloitte has agreed to pay a total of $23,900,000. The False Claims Act and comparable statutes in Florida and Indiana dictate that a portion of the recovery be awarded to the relator. In this case, the whistleblower’s share is $4,780,000.
Reactions
Edward Blum, president of the Alliance, said, “The Alliance brought this case on behalf of its member. The comprehensive settlement agreements reached by the United States, Florida and Indiana speak for themselves.” The settlement is being presented as a victory for those who seek to enforce anti‑discrimination laws and hold large corporations accountable for alleged civil‑rights violations.
Implications for Deloitte and the industry
Deloitte, one of the world’s largest professional‑services firms, will likely review its internal compliance programs to avoid future claims. The settlement underscores the growing scrutiny of large contractors that receive federal funds and the importance of strict adherence to anti‑discrimination requirements.
About the American Alliance for Equal Rights
The Alliance is a nonprofit membership organization dedicated to challenging distinctions and preferences based on race. It encourages individuals with information about potential illegal discrimination or civil‑rights fraud to come forward.
For more information, contact Edward Blum, President, at 703‑505‑1922 or visit AmericanAllianceForEqualRights.org.
Original reporting: KTBS 3 (Shreveport) — read the source article.