http://www.outsourcing-law.com/2011/07/bribery-fraud-saic-citytime-debacle-in-new-york-city/
SAIC is in trouble with lawyers...bad idea.....this is triple damages.
SAIC is in trouble with lawyers...bad idea.....this is triple damages.
This is a law firm vs. a politician and they are stating RICO
RICO: Racketeer-Influenced and Corrupt Organizations Act. The federal RICO act permits civil lawsuits to recover triple damages and attorneys’ fees for injuries arising out of two or more violations of “predicate” crimes (wire fraud, postal fraud, extortion, etc.) in any ten year period. Due to its breadth, courts have been reluctant to apply RICO remedies unless the plaintiff shows that the defendant conducted its business as a corrupt organization, where corruption was part of the business model. And, the plaintiff still needs to prove the amount and causation elements of direct damages suffered. In the SAIC CityTime case, the City of New York might argue that there was a nest of corruption that SAIC neglected to identify and eliminate, causing damages. Since the customer is a governmental body, the City of New York might also seek injunctive relief under RICO, which permits equitable remedies ordering any person to divest himself of any interest, direct or indirect, in any enterprise; imposing reasonable restrictions on the future activities or investments of any person, including, but not limited to, prohibiting any person from engaging in the same type of endeavor as the enterprise engaged in, the activities of which affect interstate or foreign commerce; or ordering dissolution or reorganization of any enterprise, making due provision for the rights of innocent persons. 18 U.S.C. 1864.
Read the restituion section where SAIC is saying former employees committed the fraud.
The Restitution. About a week after the federal indictment, Mayor Michael Bloomberg demanded that SAIC repay $600 million. He claimed that SAIC’s management failures “raise questions about SAIC’s corporate responsibility and internal controls to prevent and combat fraud.” SAIC’s spokeswoman, Melissa Koskovich, reportedly expressed sympathy for the City’s plight but noted that the alleged fraud had been conducted by former employees of SAIC and its subcontractors. While inviting the City to discuss a “resolution” to the problem, she underscored that the SAIC had delivered a working sys
