IBM is back on Federal contracts. NEW YORK, April 4 (Reuters) - International Business
Machines Corp (IBM.N: Quote, Profile, Research) said on Friday the U.S. Environmental
Protection Agency has agreed to lift a temporary order that had
barred the company from seeking new government contracts.
IBM, the world's largest provider of computer services,
said in a statement it can immediately resume participating in
new contracts with all federal agencies, ending a suspension
that began on Mar. 27.
The EPA is investigating whether IBM violated ethical
bidding provisions when it made an $80 million bid in March
2006 to modernize the agency's financial systems. An IBM
spokesman said on Monday the case stemmed from information
provided by an EPA employee to IBM employees.
The U.S. Attorney's Office for the Eastern District of
Virginia has also served IBM with grand jury subpoenas
requesting testimony and documents on interactions between the
EPA and IBM employees.
IBM said it will continue to cooperate with the ongoing
probe.
(Reporting by Tiffany Wu, editing by Dave Zimmerman)
© Reuters 2008 All rights reserved