Business & Tech

U.S. Treasury Cancels All Contracts With VA Contractor Over Leaked Tax Returns

U.S. Treasury cancels contracts with Booz Allen Hamilton worth millions over a release of confidential taxpayer information, officials say.

WASHINGTON, DC — Government contractor Booz Allen Hamilton had all of its contracts with the U.S. Treasury Department canceled on Monday, according to an agency news release.

Booz Allen Hamilton has 31 contracts with the Treasury totaling $4.8 million in annual spending and $21 million in total obligations, according to the release. The decision was made to cancel the contracts over the unauthorized release of confidential taxpayer information, federal officials said.

“President Trump has entrusted his cabinet to root out waste, fraud, and abuse, and canceling these contracts is an essential step to increasing Americans’ trust in government,” Treasury Secretary Scott Bessent said in the release on Monday. “Booz Allen failed to implement adequate safeguards to protect sensitive data, including the confidential taxpayer information it had access to through its contracts with the Internal Revenue Service.”

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Most notably, Booz Allen employee Charles Edward Littlejohn pleaded guilty in federal court on Oct. 12, 2023, to leaking the tax return of President Donald Trump without authorization, according to court records. He also pleaded guilty to stealing and disclosing to the press the tax returns of thousands of the wealthiest people in the U.S.

On Jan. 28, 2024, Littlejohn received the maximum sentence of 60 months in prison, court records say. He filed an appeal on the decision with the U.S. Court of Appeals on Feb. 12, 2024. The case is still pending.

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In November, Booz Allen signed multiple leases with Comstock Holdings Companies to move its headquarters from Tysons to Reston Row near the Wiehle-East Reston Metro station, according to a Comstock release.

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