Blow the Whistle With Experienced Cybersecurity Violations Attorneys

Cybersecurity threats are escalating at an unprecedented rate, with data breaches and cyber attacks becoming daily headlines. When organizations deliberately misrepresent their security capabilities to the government and fail to protect sensitive information, they may be committing fraud that harms taxpayers and the public.

• Common cybersecurity violations include unreported data breaches, failure to implement proper security protocols, internal data theft, and fraud in government IT contracts.
• Government contractors, grantees, and even private equity firms that falsely certify cybersecurity compliance, conceal data breaches, mishandle sensitive data, or misrepresent their security capabilities may be committing fraud under the False Claims Act.
• Publicly traded companies that hide material data breaches or misrepresent their cybersecurity posture to investors may face enforcement action under the SEC Whistleblower Program.
• Whistleblowers who report cybersecurity fraud may be eligible for awards ranging from 10 to 30 percent of government sanctions collected, and in False Claims Act cases, between 15 and 30 percent of the government’s recovery.

Whistleblowers who expose this misconduct play a critical role in holding these organizations accountable. At Whistleblower Partners, we help whistleblowers pursue False Claims Act qui tam lawsuits and submissions to agencies with whistleblower award programs, like the SEC whistleblower program.

Reporting Cybersecurity Violations through the False Claims Act

The False Claims Act covers a wide range of fraudulent conduct by government contractors, grantees, and private equity companies investing in those entities. Cybersecurity-related FCA violations can include:

Misrepresenting Cybersecurity Compliance

• Falsely certifying compliance with federal cybersecurity standards such as NIST, CMMC, or FedRAMP
• Concealing known security vulnerabilities from government clients
• Misrepresenting the security capabilities of software or IT systems sold to the government

Failure to Report Breaches

• Failing to report security incidents or data breaches as required by contract or regulation
• Concealing breaches affecting government systems or data

Government Contract Fraud

• Overcharging for IT security services not actually delivered
• Using uncertified products or personnel on cybersecurity contracts

Insider Threats and Unauthorized Use

• Internal data theft or manipulation affecting government systems
• Contractors accessing systems beyond their authorization in ways that compromise contract performance

In 2021, the Department of Justice launched the Civil Cyber-Fraud Initiative, focused on prosecuting cybersecurity-related fraud against the government through the False Claims Act. Since the inception of the Initiative, the DOJ has settled over a dozen cybersecurity fraud cases under the False Claims Act—a notable uptick in enforcement in just a few years.

Reporting Cybersecurity Fraud Through the SEC Whistleblower Program

In addition to qui tam lawsuits under the False Claims Act, the SEC whistleblower program provides financial incentives for reporting cybersecurity violations that defraud investors or implicate securities laws—for example, when a publicly traded company conceals a material data breach or misrepresents its cybersecurity posture to investors. Awards under the SEC program can be substantial, ranging from 10% to 30% of sanctions collected by the SEC in a successful enforcement action.

Contact Us

Our team has decades of combined experience handling complex whistleblower cases, including cybersecurity fraud matters. Our attorneys represented the whistleblower in the first successful FCA settlement based on cybersecurity violations, making us uniquely positioned to evaluate and pursue these cases.

If you have inside knowledge of cybersecurity fraud against the government or misrepresentations that have harmed investors, your information may be the basis for a significant qui tam lawsuit or agency whistleblower submission. Contact Whistleblower Partners today for a confidential consultation to discuss your situation and learn about your options.