Pennsylvania Turnpike Settles with Whistleblower Who Warned About Failed Software Installation

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Image via Tom Gralish, Philadelphia Inquirer.

In a conclusion to a decade-long saga, Ciber has agreed to pay the Pennsylvania Turnpike Commission just $2 million of the $45 million it demanded in a 2012 lawsuit, writes Joseph DiStefano for the Philadelphia Inquirer.

The lawsuit accused the software firm of overcharging the Commission by tens of millions of dollars for the installation of SAP enterprise software. The complaint also stated that Ciber failed to get the system to run the Turnpike’s finance, accounting, service, maintenance, purchasing, and other systems. This forced the agency to hire SAP and use its own employees to do work Ciber had already been paid for.

In March, the state’s Supreme Court ordered the Commission to pay $4.2 million to whistleblower Ralph Bailets, the Turnpike’s former manager of financial systems and reporting, for unfairly terminating him.

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Bailets had warned his bosses that Ciber’s prices were significantly inflated and that the firm’s work was poorly managed, incomplete, and unusable without much more work. However, he was told that Ciber had significant political influence and that further complaints would hurt his career.

The Supreme Court unanimously decided that Bailets’s warnings about Ciber were well-founded and that he was fired by the Turnpike “in retaliation for his reports of wrongdoing and waste.”

Read more about the case in the Philadelphia Inquirer by clicking here.

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