Dallas school district settles False Claims Act suit

The Dallas Independent School District has entered into a settlement with the U.S. Government concerning the Texas school district’s participation in the federal E-Rate program, which subsidizes the cost of Internet connections for libraries and schools in poor neighborhoods. DISD officials had been accused of submitting false claims under the program by awarding E-Rate contracts through a noncompetitive bid process. In addition, the government charged that technology vendors improperly lavished district officials with meals, trips, golfing and the free use of a yacht. In July of last year, the DISD’s former chief technology officer Ruben Bohuchot was convicted on bribery charges in connection with the E-Rate contracts.

The E-Rate program was created by the Telecommunications Act of 1996. The program, run by the FCC, awards funds to schools to cover the cost of monthly Internet service and networking hardware.

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