Source: By Jim McElhatton, THE WASHINGTON TIMES, May 3, 2006
Federal authorities have begun a criminal investigation of Maximus Inc. in the wake of a lawsuit claiming that the Reston-based consulting giant overcharged the government tens of millions of dollars while working for the District’s foster care agency, unsealed court records and other official files show. The investigation follows a federal False Claims Act lawsuit that says Maximus lacked proper documentation for most of the more than $30 million in Medicaid claims the company prepared for the D.C. government, starting in 1999.
….. Maximus derives nearly 80 percent of its revenue from state and local contracts covering a broad range of government services, including tracking down deadbeat parents, managing child welfare programs and implementing public retirement benefit systems. The company finds itself in the wake of a management shake-up. It announced last week the firing of Chief Executive Lynn Davenport, citing unspecified conduct toward a former female employee.