Data Physics Corp., a San Jose, California company, has reached a sizable settlement with the federal government to resolve False Claims Act charges against it. The federal government alleged that the company billed the government approximately $430,000 for nuclear missile technology ordered by the Air Force, received payment for the equipment, but then failed to deliver a part of the testing equipment for which the Air Force had contracted. To make matters worse, the company then refused to give back the money it had received even though the testing component was never delivered.

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