$5.06M AbilityOne Settlement: Lifeview Resolves FCA Claims Over Pentagon EITS Labor Ratio

An AbilityOne contractor accused of misstating its disability workforce to keep a Pentagon IT services contract will pay $5,059,808 to close out whistleblower claims that those statements were false. Lifeview Group, Inc., together with its corporate predecessors and affiliates, agreed to the settlement to resolve allegations under the False Claims Act, according to a Justice Department release reposted by the GSA Office of Inspector General. The U.S. Attorney's Office for the Eastern District of Michigan announced the deal on Sept. 21, 2026, and the GSA OIG headline calls it one of the largest AbilityOne-related False Claims Act settlements of all time.

The case centers on the Department of War's Defense Manpower Data Center Enterprise Information Technology Services contract, known as EITS. The contract was awarded through the AbilityOne Program, a federal program enacted to create employment opportunities for blind or significantly disabled individuals. The program is administered by the Committee for Purchase From People Who Are Blind or Severely Disabled, operating as the U.S. AbilityOne Commission. A companion oversight record from the Commission's own inspector general followed nine days after the settlement announcement. The claims resolved are allegations only, and there has been no determination of liability.

How the 75% Direct Labor Hour Ratio Shaped the EITS Case

AbilityOne participation comes with a hard workforce test. Under program rules described in the release, contractors must perform 75% of the labor related to "the[ir overall] production of products and… provision of services" with labor by individuals who are blind or significantly disabled. The program calls this the direct labor hour ratio requirement.

That agency-wide ratio is not the only number that matters. Contractors must also meet contract-specific direct labor hour ratios, and the AbilityOne Commission can approve lower ratios on a project-by-project basis. For a technical services contract like EITS, the contract-level ratio and what a contractor tells the Commission about meeting it carry real weight.

The United States investigated allegations that Lifeview did not meet the direct labor hour ratio requirement for EITS. According to the release, the settlement resolves allegations that Lifeview made false statements to the AbilityOne Commission about its performance of the contract in the period leading up to the renewal of the EITS contract on June 17, 2019. The alleged misstatements were thus tied to the renewal period, a point worth noting for any contractor whose eligibility is reviewed at renewal.

U.S. Attorney Jerome F. Gorgon Jr. framed the case around qualifications. "The False Claims Act is an important tool for combatting procurement fraud. Our office will vigorously investigate entities that make false statements about their qualifications to obtain or keep government contracts," Gorgon said.

Who Brought the Hruska Qui Tam Against Global Connections to Employment?

The settlement resolves a civil lawsuit filed under the whistleblower provision of the False Claims Act, which lets private parties sue on the government's behalf and share in a portion of any recovery. The case is captioned United States ex rel. Hruska v. Global Connections to Employment, Inc., Case No. 17-13804, in the Eastern District of Michigan. The release does not say what share of the $5,059,808 the relator will receive.

Assistant U.S. Attorney John Postulka handled the matter. The release credits a coordinated effort among the U.S. Attorney's Office, the U.S. AbilityOne Commission, the Department of War Office of the Inspector General, and the GSA Office of the Inspector General. Acting Special Agent in Charge Jessica Herrington of the Defense Criminal Investigative Service Northeast Field Office joined the announcement for DoD OIG.

The Commission struck a firm tone. "The AbilityOne Commission maintains a zero-tolerance policy toward any action, omission, or misrepresentation that undermines the integrity of the AbilityOne Program," said Commission Chairperson Christina Brandt.

Special Agent in Charge Jorge Richardson of the GSA OIG Midwest Investigations Division tied the case to the program's mission. "False or misleading statements about work related to a program intended to expand employment opportunities for individuals with disabilities should not be tolerated," Richardson said.

What AbilityOne Commission OIG Report INV 18-17 Adds

A second record fills in the oversight trail. On Sept. 30, 2026, the U.S. AbilityOne Commission OIG issued Investigative Summary INV 18-17, titled "Full Investigation of Global Connections to Employment, Inc." The summary states that the OIG "conducted an investigation in response to a qui tam complaint, filed under seal, alleging fraud by the Global Connections to Employment, Inc. (GCE) in connection with Department of Defense contracts, including the Defense Manpower Data Center (DMDC) Enterprise Information Technology Services (EITS) contract."

The Oversight.gov listing reports questioned costs of $0 and funds for better use of $0, and it marks the investigation as agency-wide. Those zero entries describe the report's audit-style metrics, not the civil recovery; the $5,059,808 came through the Justice Department settlement rather than through OIG questioned-cost findings.

What It Means for Contractors

The Lifeview settlement shows that AbilityOne eligibility statements function as certifications the government will test under the False Claims Act. Any contractor that reports direct labor hour ratios to the Commission is making representations that can support liability if they are wrong, especially when those statements feed a renewal decision.

Several practical points follow from the release:

Track ratios at the contract level. Meeting the 75% threshold does not settle the question; contract-specific ratios also apply, and any lower ratio needs Commission approval project by project.
Treat renewal-period reporting as high risk. The allegations concern statements in the run-up to the EITS renewal on June 17, 2019.
Expect multiple investigators. The AbilityOne Commission, its OIG, the Department of War OIG (with DCIS joining the announcement), and GSA OIG were all involved alongside the U.S. Attorney's Office.
Corporate history follows the liability. The settlement covers Lifeview together with its corporate predecessors and affiliates, while the qui tam caption names Global Connections to Employment, Inc.

For agencies buying technical services through AbilityOne, the case is a reminder that the program's workforce requirement is the basis of the set-aside itself. As Gorgon's statement put it, the office will pursue entities that misstate their qualifications "to obtain or keep government contracts." Contractors with AbilityOne work should audit how they calculate and report labor hour ratios, document the basis for every figure sent to the Commission, and confirm that any lower contract-specific ratio rests on written approval.