NETAPP INC
NTAP
Information Technology
1
exclusion reason
1 theme
This page is part of our public exclusion list — a transparency tool that shows which companies we screen out and why. It is not investment advice, and it is not an accusation. But it is subject to change as our understanding of the facts evolves.
NetApp agreed to pay $128 million plus interest in April 2009 to resolve allegations of defrauding the General Services Administration — the largest GSA contract fraud settlement at that time. As a contractor selling hardware, software, and storage management services to government agencies through GSA's Multiple Award Schedule program, NetApp knowingly failed to provide accurate information about its commercial pricing and discounts, and failed to comply with price reduction clauses by concealing deeper discounts offered to commercial customers. The government systematically overpaid for NetApp products as a result. A former NetApp Federal Systems Operations Manager, Igor Kapuscinski, filed the whistleblower suit under the False Claims Act and received $19.2 million from the recovery.
Research Sources
3 organizations
Related Exclusions
Wondering what we do invest in?
The Naughty List
A digest of changes to our exclusion list — new additions, removals, and the evidence behind them. We review the list continuously as new evidence surfaces.
Companies appear on our exclusion list based on our investment judgment — not because they've done anything illegal. This is a difference of values and opinion, not an accusation of wrongdoing. Exclusion does not constitute a recommendation against investing in any company, and absence from the list does not constitute a recommendation to invest.
This information is provided for educational and transparency purposes only and should not be relied upon as investment advice. Data is drawn from independent watchdogs, NGOs, government registries, and Ethical Capital's ongoing research — see Research Sources for the full list.
Ethical Capital LLC is a state-registered investment adviser in Utah (CRD #316032). Registration does not imply a certain level of skill or training.