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Contract Fraud

HHS is the fourth largest contracting organization in the Federal government, spending almost $5 billion a year on contractual services and supplies. Pursuant to the Inspector General Act of 1978, the U.S. Department of Health and Human Services, Office of Inspector General (OIG) is responsible for conducting investigations into fraud, waste, and abuse involving HHS programs, including HHS contracts.

Any suspected fraudulent activities by Federal or State employees, contractors, subcontractors, or any other participants on HHS contracts should be reported to the OIG Hotline.

Suspected fraudulent activities include, but are not limited to:

  • Falsifying information on contract proposals
  • Using Federal funds to purchase items that are not for Government use
  • Billing more than one contract for the same work
  • Billing for expenses not incurred as part of the contract
  • Billing for work that was never performed
  • Falsifying data
  • Substituting approved materials with unauthorized products
  • Misrepresenting a project's status to continue receiving Government funds
  • Charging higher rates than those stated or negotiated for in the bid or contract; and
  • Influencing government employees to award a grant or contract to a particular company, family member, or friend.

Any allegations of bribery, kickbacks, gratuities, and conflicts of interest involving Federal or State employees connected with HHS contracts should also be reported to the OIG Hotline.

When contacting the OIG Hotline, persons should provide as much information as possible about the suspected fraudulent activities. The OIG maintains confidentially on all information and, if requested, anonymity of the source. Helpful information includes, but is not limited to:

  • Contract number
  • DUNs number
  • SAM number
  • Total amount of the contract
  • HHS program office administering the contract
  • Nature of the complaint
  • Time period of the complaint; and
  • Contact information so that OIG may follow-up with additional questions, if necessary.

The HHS OIG's Contractor Self-Disclosure Program allows contractors to self-disclose potential violations of the False Claims Act and various Federal criminal laws involving fraud, conflict of interest, bribery or gratuity. Find more information regarding the OIG Contractor Self-Disclosure program here:

Notice to the HHS Contractors, Subcontractors, Grantees, Subgrantees or Personal Services Contractors