“DOJ’s $2 Million Honeywell Settlement Under the Civil Cyber-Fraud Initiative: What Compliance Failures Mean for Defense Contractors

Key Takeaways

  • DOJ used the FCA to settle with Honeywell Aerospace Inc. for $ 2,042,518 over allegations that a Honeywell business unit submitted claims for payment under a DoW contract while failing to comply with NIST SP 800-171 cybersecurity requirements incorporated through DFARS 252.204-7012, reinforcing that cybersecurity compliance failures can create significant FCA exposure for defense contractors.
  • The settlement arose from a 2022 qui tam whistleblower action filed by a former Honeywell employee, and DOJ reported a record
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