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Oracle to pay $199.5 million to settle government case

GSA will receive largest settlement under the False Claims Act

Yesterday the Department of Justice (DOJ) announced that Oracle Corp. will pay more than $199.5 million to settle a lawsuit alleging that the software company made false statements about its sales practices and overcharged the federal government for software and services. 

In May 2007, Oracle employee Paul Frascella filed a whistleblower lawsuit claiming the company didn’t follow through on its promise that it would offer the General Services Administration (GSA) a commercial consumer discount on $1.08 billion in software it purchased between 1998 and 2006.

Ashley Post

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