AMS, a computer vendor formerly known as American Management Systems, has agreed to pay $1.53 million to resolve charges that it overbilled the Ohio Department of Human Services. The suit, originally brought as a qui tam action under the Federal False Claim Act, alleged that the company billed the state for unrelated work and billed at an inflated rate for work done by unqualified employees.
AMS had been hired in 1997 to install a computer system to streamline the data-entry tasks of county caseworkers.
The agency, which is now called the Department of Job and Family Services, used federal money to pay for the computer system.
The Cincinnati Enquirer ran a July 24, 2006 story on the settlement.