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Contact: Susan Houghton
Phone: (925) 422-9919
E-mail: houghton3@llnl.gov
  FOR IMMEDIATE RELEASE
Date: February 6, 2004
NR-04-02-03

Resolution Reached in LLNL and Department of Justice Accounting Procedure Issue

Lawrence Livermore National Laboratory officials and University of California Regents have reached an agreement with the Department of Justice for issues surrounding billing and accounting procedures that occurred in one laboratory program in the Energy Directorate during the 1994 to 1998 time frame.

The agreement, signed yesterday by LLNL officials, allows the Laboratory to resolve claims of improper cost allocations and incomplete subcontract projects by returning funds to the federal government.
That amount is approximately $3.89 million.

LLNL conducted its own internal audit investigation of in-direct costing practices in this area in 1997 and proactively notified the Department of Energy of concerns. No employee received a direct financial benefit from these incorrect procedures. The Lab's Internal Audit Department also worked closely with the Department of Justice on their investigation of this issue.

Founded in 1952, Lawrence Livermore National Laboratory is a national security laboratory, with a mission to ensure national security and apply science and technology to the important issues of our time. Lawrence Livermore National Laboratory is managed by the University of California for the U.S. Department of Energy's National Nuclear Security Administration.


Founded in 1952, Lawrence Livermore National Laboratory is a national security laboratory that develops science and engineering technology and provides innovative solutions to our nation's most important challenges. Lawrence Livermore National Laboratory is managed by Lawrence Livermore National Security, LLC for the U.S. Department of Energy's National Nuclear Security Administration.