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Sprint Sued by the US Government

Category: General News
Posted: 06:58PM

In an interesting legal case, the United States government has filed a complaint against Sprint for charges that occurred for wiretaps. When the United States requests information that can be used in investigations by authorities, it is usually gathered from wiretaps. Companies, such as Sprint, have to pay for the equipment that enables the wiretapping to occur, and are reimbursed by the United States government at a later time. The government claims that Sprint overcharged agencies, such as the Drug Enforcement Administration and the FBI, more than $21 million that is directly related to equipment bought by the company. Sprint, according to the complaint, improperly inflated its charges by 58 percent over the course of approximately three and a half years, spanning from January 1, 2007 to July 31, 2010.

Sprint is officially stating that the invoices submitted to the government for reimbursement of incurred charges are all lawful. Even so, the government is seeking triple damages along with unspecified civil fines.

Source: CNET

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