Earlier this month, the Department of Justice (DOJ) announced that Swiss Automation Inc., an Illinois-based precision machining company, agreed to pay $421,234 to resolve allegations that it violated the False Claims Act (FCA) by inadequately protecting technical drawings for parts delivered to Department of Defense (DoD) prime contractors. This settlement reflects DOJ’s persistent emphasis on cybersecurity compliance across all levels of the defense industrial base, reaching beyond prime contractors to encompass subcontractors and smaller suppliers. The settlement is also a reminder to all contractors not to overlook the often confusing relationship between Controlled Unclassified Information (CUI) and export-controlled information.
Continue Reading An ITAR-ly Critical Reminder of Cybersecurity Requirements: DOJ Settles with Swiss Automation, Inc.
Kate Growley
Kate M. Growley (CIPP/US, CIPP/G) is a director with Crowell & Moring International and based in Hong Kong. Drawing from over a decade of experience as a practicing attorney in the United States, Kate helps her clients understand, navigate, and shape the policy and regulatory environment for some of the most complex data issues facing multinational companies, including cybersecurity, privacy, and digital transformation. Kate has worked with clients across every major sector, with particular experience in technology, health care, manufacturing, and aerospace and defense. Kate is a Certified Information Privacy Professional (CIPP) in both the U.S. private and government sectors by the International Association of Privacy Professionals (IAPP). She is also a Registered Practitioner with the U.S. Cybersecurity Maturity Model Certification (CMMC) Cyber Accreditation Body (AB).
From Yellow Jackets to Red Flags: DOJ Stings Georgia Tech for Alleged Cybersecurity Noncompliance
On September 30, 2025, the Department of Justice (DOJ) announced that Georgia Tech Research Corporation (GTRC) agreed to pay $875,000 to settle allegations that it violated the False Claims Act (FCA) and federal common law by failing to meet cybersecurity requirements under certain Air Force and Defense Advanced Research Projects Agency (DARPA) contracts. The settlement adds to the growing list of recoveries under DOJ’s Civil Cyber-Fraud Initiative and is yet another example of DOJ’s ongoing enforcement focus on cybersecurity obligations for federal contractors handling sensitive government information. The settlement also provides insight into how government contractors may challenge FCA liability when faced with allegations of cybersecurity noncompliance.
Continue Reading From Yellow Jackets to Red Flags: DOJ Stings Georgia Tech for Alleged Cybersecurity NoncomplianceHardening Software Security: DOJ’s Civil Cyber Fraud Settlements Continue to Illumina[te] the Importance of Cybersecurity
On July 31, 2025, the Department of Justice (DOJ) announced that Illumina, Inc. will pay $9.8 million to resolve allegations that it violated the False Claims Act (FCA) by selling genomic sequencing systems with software containing cybersecurity vulnerabilities to federal agencies. This is the first FCA settlement involving claims that a medical manufacturer failed to incorporate adequate product cybersecurity into its software design and development.
Continue Reading Hardening Software Security: DOJ’s Civil Cyber Fraud Settlements Continue to Illumina[te] the Importance of CybersecurityCanadian CMMC? Canada Proposes Cyber Compliance Regime for Canadian Defense Suppliers
On March 12, 2025, the Government of Canada announced plans to launch the Canadian Program for Cyber Security Certification (CPCSC). CPCSC is a cybersecurity compliance verification program that aims to protect sensitive unclassified government information handled by Canadian government contractors and subcontractors within Canada’s defense sector. Canada will roll out CPCSC to contractors in four phases, with the first phase launching this month.
Continue Reading Canadian CMMC? Canada Proposes Cyber Compliance Regime for Canadian Defense SuppliersPrivate Sector Helps Lead the Way: Biden-Harris Administration Secures Voluntary Commitments from Leading Artificial Intelligence Companies to Manage the Risks Posed by AI
On July 21, 2023, the Biden administration announced that seven companies leading the development of artificial intelligence (AI) — Amazon, Anthropic, Google, Inflection, Meta, Microsoft, and OpenAI — have made voluntary commitments, which the companies agreed to undertake immediately, to help move towards safe, secure, and transparent development of AI technology. The goal of the voluntary commitments, or the “AI Agreement” as it is informally dubbed, is to establish a set of standards that promote the principles of safety, security, and trust deemed fundamental to the future of AI.
Continue Reading Private Sector Helps Lead the Way: Biden-Harris Administration Secures Voluntary Commitments from Leading Artificial Intelligence Companies to Manage the Risks Posed by AIBiden Admin Eyes IoT Cyber Practices
On June 18, 2023, the Biden-Harris administration announced the launch of a new “U.S. Cyber Trust Mark” program (hereinafter the “Program”). First proposed by Federal Communication Commission (“FCC”) Chairwoman Jessica Rosenworcel, the Program aims to increase transparency and competition across the smart devices sector and to assist consumers in making informed decisions about the security of the devices they purchase.
Continue Reading Biden Admin Eyes IoT Cyber Practices