NCJ Number
117366
Date Published
1989
Length
8 pages
Annotation
This article identifies the unique circumstances confronting counsel representing government contractors under indictment and recommends steps for counsel to take in helping the involved company survive economically under suspension.
Abstract
The suspension and debarment regulations in the Federal Acquisition Regulation provide that Federal agencies may not solicit offers from, award contracts to, or consent to subcontracts with, any company or individual who has been suspended or debarred. Suspension is a temporary prohibition pending the completion of the investigation or legal proceedings at issue. Debarment is a prohibition for a specified period of time, usually not more than 3 years. The regulations provide that an indictment for a criminal offense in connection with obtaining, attempting to obtain, or performing a public contract or subcontract is adequate evidence for suspension. Conviction is grounds for debarment. A corporation's survival can depend upon defense counsel's steps to bring criminal proceedings to an early end. The best approach is to negotiate a 'global settlement,' which is an overall agreement for the disposition of the criminal case and all related civil and administrative issues, including suspension and debarment.