Ogilvy Settles Government Suit

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NEW YORK–Ogilvy & Mather has agreed to pay the government $1.8 million to resolve claims that the company overcharged the Office of National Drug Control Policy, the Justice Department said Monday.

Under the agreement, New York-based Ogilvy will pay $689,744 in cash and will adjust its contract to reflect a reduction in incurred costs claimed of $1,150,256.

According to the Justice Department, the settlement resolves allegations that Ogilvy’s labor charges in its 1999 and 2000 invoices were based on inaccurate timesheets submitted by employees and that the company’s management did not exercise reasonable control to ensure that billings for labor were accurate.

Ogilvy





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