IBM Bid Suspension Rattles Contractors

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When the EPA suspended IBM from seeking federal contracts due to alleged bidding violations, the move rattled contractors and lawyers for the industry. It's almost unheard of for a major company to face suspension without being notified it is in jeopardy, says Rand Allen, chairman of Wiley Rein's government contracts practice. The suspension was also a jolting reminder of what others might face if a souring atmosphere for contractors in Washington results in more investigations or stiffer penalties.

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