EX-10.3
from 10-Q
14 pages
- Page 2 of 13 - I. Contrary to the Cost Accounting Standards (“Cas”) and the Federal Acquisition Regulation (“Far”), Booz Allen Allocated Indirect Costs That Supported Booz Allen’s Commercial and/or International Businesses to Government Contracts and Subcontracts That Should Have Been Allocated to Commercial and/or International Contracts or Should Have Been Treated as Unallowable Costs, Including but Not Limited To: Costs Identifiable as Commercial and/or International Costs Using the Criteria Reflected in the Spreadsheet Exchanged Between the Parties as of the Effective Date of This Agreement, Burdens Applied to Such Costs (Including but Not Limited to G&A, Fringe, and Intermediate Cost Allocations), and Directly Associated Costs (As That Term Is Defined in Far 31.001 and Far 31.201-6); II. Booz Allen Created and Maintained Indirect Cost Pools That Included Commingled Costs Supporting Both (I) Commercial and/or International Contracts and (II) Government Contracts and Subcontracts, and by Virtue of Such Commingling Allocated Indirect Costs Disproportionately Between Commercial and/or International Contracts and Government Contracts and Subcontracts, and Thus Were Not in Compliance With the Cas or Far, Including but Not Limited to the Homogeneity and Proportionality Requirements in Cas 418 and the Allocability Requirements in Far 31.201-4; III. Booz Allen Used Costs and Cost Rates That Included Indirect Costs Supporting Booz Allen’s Commercial and/or International Businesses to Seek Inflated Payments and Reimbursements Under Its Government Contracts and Subcontracts, and Failed to Disclose Current, Accurate, and Complete Cost or Pricing Data Related to Such Costs Resulting in Inflated Prices for Government Contracts and Subcontracts;
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