Insight Public Sector has agreed to pay $1 million for misrepresenting itself as a small business in order to win a government contract. The company was known as Comark Government and Education Services, Inc. back in 1996 when it obtained a General Services Administration contract. Comark was acquired by Insight Enterprise Inc. in 2002. Insight had 2005 revenues of $3.3 billion.
An investigation by GSA, the Justice Department and the Small Business Administration concluded that Comark was not a small business when it won the contract and should not have received preferential treatment. An attorney who worked on the investigation said that between 1996 and 2005 the company received roughly 250 small-business set asides worth about $4.2 million.
Additional details regarding the investigation and settlement can be found in the April 24, 2006 issue of Wahington Technology.