WASHINGTON, D.C. — International Business Machines Corp. (IBM) has agreed to pay more than $17 million to settle accusations that it engaged in discriminatory employment practices tied with diversity initiatives while working under federal contracts, according to the U.S. Department of Justice.
The settlement marks the first resolution announced under the DOJ’s Civil Rights Fraud Initiative, a program launched last year to investigate whether federal contractors are violating anti-discrimination laws while certifying compliance in government contracts.
Federal officials accuse IBM of violating the False Claims Act by failing to comply with anti-discrimination requirements attached with its federal contracts, which require contractors to certify that employment decisions are made without regard to race, color, national origin, or sex.
According to the DOJ,…
