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Monday, August 27, 2012

Veteran Affair Scam

Auditors say Veterans Affairs employees were in on a scheme to help a major company reap rewards from small business contracts. The department inspector general said Enterprise Technology Solutions won contracts as a service-disabled, veteran-owned concern. But it passed the bulk of the work on to Health Net, a major player in the claims-processing industry. It's against the rules for small companies to front for large ones. The IG said Health Net encouraged a former VA employee to set up the small company for the sole purpose of funneling business to Heath Net. It says agency contract officers knew about the arrangement. Health Net is one of the companies that services TRICARE.

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