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Fraud Convictions Overturned in Federal Contract Case
Fraud Convictions Overturned in Federal Contract Case
Bringing a Second Chance to a Contractor Wrongly Convicted in a $15 Million Case of Alleged Bid Misrepresentation
A government contractor was convicted of fraud and false statements over alleged misrepresentations in federal bid proposals, including qualifications and security clearances. The case resulted in an eight-count conviction, a 63-month sentence, and a $2.7 million restitution order—all based on claims the government had been misled during the contract process.
Our attorneys appealed, arguing that the trial court applied the wrong legal standard. We showed the jury had been misinstructed, key evidence was excluded, and no actual harm occurred—the services were delivered, and government officials knew more than the prosecution admitted. We reframed the case as a dispute over contract interpretation, not criminal fraud, and highlighted the due process issues that made the original trial unfair.
The Sixth Circuit agreed, unanimously reversing all convictions and ordering a new trial. The court clarified that fraud in contracting requires proof of actual or intended harm—not just vague allegations of influence. This ruling reshaped the legal landscape for federal contractors and reinforced fair standards for future prosecutions.
Key Facts
8 convictions reversed: A new trial was ordered after faulty jury instructions.
$2.7M restitution nullified: The financial penalty was completely vacated.
0 prison time served post-appeal: The original 63-month sentence was overturned.
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