Alleged Unallowable Costs Under NTIA Broadband Technology Opportunities Program Grant

In May 2014, a private party filed a sealed qui tam complaint in federal court, alleging that Frontier, West Virginia, Inc. (Frontier), a subrecipient of a National Telecommunications and Information Administration (NTIA) Broadband Technology Opportunities Program (BTOP) grant to the State of West Virginia, had violated the False Claims Act. The evidence developed over the course of our investigation established that the Executive Office of West Virginia (EOWV) reimbursed Frontier from BTOP grant funds for approximately $4.7 million in costs that were unallowable under the applicable rules and regulations. The evidence further established that Frontier placed a significantly greater amount of “maintenance coil” on the BTOP project than the company had previously represented to the public, EOWV, and OIG.