DOJ's $17M IBM Settlement: A Wake-Up Call for Federal Contractors

BLOG OVERVIEW: On April 10, 2026, DOJ announced a $17 million False Claims Act settlement with IBM—the first resolution under the Civil Rights Fraud Initiative—over allegations that IBM's DEI-related employment practices violated anti-discrimination certifications tied to its federal contracts. The settlement centers on FAR clause 52.222-26, derived from the now-revoked Executive Order 11246, raising questions about the continued legal exposure contractors face under legacy contract clauses. The... By: DCI Consulting