U.S. Attorney for the Eastern District of Pennsylvania Zane David Memeger announced on Jan. 13 that Big Brothers Big Sisters of America, which was originally based in Philadelphia, has agreed to pay $1.6 million to the federal government to settle allegations that it made false claims in applying for grants from the Department of Justice.
The government alleged that from 2009 to ’11, Big Brothers Big Sisters inappropriately commingled grant funds with general operating funds, failed to segregate expenditures to ensure that grant funds were used as intended and failed to maintain internal financial controls to safeguard the proper use of grant funds. The allegations were documented in a 2013 audit.
Big Brothers Big Sisters did not accept liability for the government’s accusations as part of the settlement agreement. ••
