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Deloitte to Pay $23.9 Million Over Anti-Discrimination Claims

Deloitte to Pay $23.9 Million Over Anti-Discrimination Claims

Deloitte has agreed to a $23.9 million settlement following allegations that the professional services firm knowingly violated anti-discrimination mandates while fulfilling government contracts. The resolution concludes a whistleblower lawsuit filed in the Northern District of Texas by the American Alliance for Equal Rights alongside federal and state authorities.

The legal action, brought under the False Claims Act and corresponding laws in Florida and Indiana, centered on claims that Deloitte certified compliance with federal and state civil rights obligations while simultaneously engaging in race and sex-based discrimination. The Alliance, representing an anonymous individual identified as Member A, argued that these practices rendered the firm’s government contract certifications fraudulent.

As part of the settlement, the whistleblower—the relator in the case—will receive a portion of the recovery totaling $4,780,000. Edward Blum, president of the Alliance, described the multi-jurisdictional agreement as a definitive resolution to the allegations. The settlement marks a significant payout for a case targeting corporate diversity and hiring practices, emphasizing the financial risks firms face when federal and state anti-discrimination requirements are allegedly bypassed.

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