Contractor Agrees to Pay $50,000 to Resolve Allegations of Invoicing Employee Food Expenses Disguised as IT Products

WASHINGTON - The United States Attorney for the District of Columbia announced today that it reached a civil settlement agreement with Ventana Productions, Inc. ("Ventana") to resolve allegations that on multiple occasions over a period of years Ventana hid food expenses for its employees by charging the Government for non-existent products and services. Pursuant to the settlement, Ventana agreed to pay the United States $50,000.

"Waste, fraud, and abuse of taxpayer dollars will not be tolerated," said U.S. Attorney Pirro. "Every day, this Office works aggressively to expose fraud and abuse that diverts taxpayer dollars from their intended purpose. Contractors have a duty to bill the government honestly, and when they violate that trust, we will act decisively to hold them accountable."

"Federal contractors are expected to bill the government honestly and accurately," said Judd Leinum, Special Agent in Charge, U.S. Department of Commerce Office of Inspector General. "Disguising employee meal expenses as information technology products and services undermines the integrity of the federal procurement process. Any attempt to falsely bill the Department will not be tolerated. This settlement demonstrates our commitment to protecting taxpayer funds and holding contractors accountable for false claims. We appreciate the partnership of the U.S. Attorney's Office for the District of Columbia in resolving this matter."

Ventana is a video production company with offices in Washington, DC and New York, NY. Ventana performed multimedia production support work for the U.S. Census Bureau ("Census"), a component of the U.S. Department of Commerce, under two General Services Administration contracts. Acting on an anonymous tip, the Department of Commerce Office of Inspector General ("OIG") conducted an investigation that found seven instances of Ventana invoicing Census for charges that were designed to hide the costs of employee meals. Based on Ventana records and interviews, the OIG uncovered Ventana falsely invoicing Census for "hard drives," "media transfer," and "parking" that were disguising food purchased from a variety of establishments, including among others, Dunkin Donuts, Corner Bakery, Panera Bread, and Joe Theismann's Restaurant. Based on seven false invoices, spanning July 2019 to February 2024, Census paid Ventana $1,533.27 that it would not have otherwise paid. To settle potential claims for damages and penalties under the False Claims Act and related causes of action, Ventana has agreed to pay the United States $50,000.

After OIG and the U.S. Attorney's Office investigated the matter, a settlement was completed by Assistant United States Attorney Sean M. Tepe, with the assistance of Auditor Timothy J. Hurley, and a Special Agent with the Department of Commerce OIG.

The claims resolved by the civil settlements are allegations only, and there has been no determination of liability.