Lessons From Verizon’s Cybersecurity FCA Self-Disclosure

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Lessons From Verizon's Cybersecurity FCA Self-Disclosure

New York — In a cybersecurity landscape fraught with risks and challenges, Verizon Business Network Services LLC, a subsidiary of Verizon Communications Inc., demonstrated a compelling commitment to rectify past shortcomings. On September 5, the U.S. Department of Justice (DOJ) announced a settlement that saw Verizon agree to pay $4.1 million to resolve specific False Claims Act (FCA) allegations linked to cybersecurity.

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The allegations centered around Verizon’s Managed Trust Internet Protocol Service (MTIPS), a platform designed to establish secure connections for federal agencies. It came to light that, between 2017 and 2021, the service did not fully adhere to the cybersecurity controls mandated by the U.S. General Services Administration (GSA).

In essence, the government required Verizon to meet specific cybersecurity criteria as part of its contracts, and the company, it seemed, had fallen short. However, instead of evading responsibility or concealing these lapses, Verizon opted for transparency and accountability.