Teledyne Electronic Safety Products to pay $1.5M to settle FCA allegations

The Justice Department announced that Teledyne (TDY) RISI Inc., also known as Teledyne Electronic Safety Products, an aerospace and defense electronics company based in Chatsworth, California, has agreed to pay $1.5M to resolve allegations that it violated the False Claims Act by supplying aircraft parts to the military that did not meet contract specifications. The settlement resolves allegations that Teledyne ESP, as a subcontractor for U.S. Navy contracts, knowingly caused false claims to be submitted to the U.S. Navy in connection with its manufacture of Digital Recovery Sequencer units containing a microelectronic part that did not conform with the specifications reviewed and approved by the Navy. In connection with the settlement, the United States acknowledged that Teledyne ESP took a number of significant steps entitling them to credit for cooperation with the government’s investigation, including identifying witnesses and facilitating their interviews; and providing investigative updates to the United States and other customers, including through the Government-Industry Data Exchange Program.