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ARTICLE · 01 MAY 2026

DOJ Resolves First DEI-Related False Claims Act Matter With IBM For $17 Million

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On April 10, 2026, the Department of Justice (“DOJ”) announced the first False Claims Act (“FCA”) resolution secured under its Civil Rights Fraud Initiative.

United StatesEmployment and HR
Guy Brenner
Guy Brenner
Rachel Edelson
Rachel Edelson
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Quick Hit: On April 10, 2026, the Department of Justice (“DOJ”) announced the first False Claims Act (“FCA”) resolution secured under its Civil Rights Fraud Initiative. The settlement resolves allegations that International Business Machines Corporation (“IBM”) violated the FCA “by failing to comply with anti-discrimination requirements in its federal contracts due to practices the United States contends discriminated against employees and applicants for employment because of race, color, national origin, or sex,” and requires IBM to pay the federal government over $17 million. This is the first settlement of an FCA matter based on a contractor’s diversity, equity, and inclusion (“DEI”) initiatives.

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