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Leo Burnett to Pay $15.5 Million in Whistleblower Settlement

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Leo Burnett, the Chicago based ad agency, has agreed to pay the federal government $15.5 million to settle a whistleblower lawsuit.

Leo Burnett worked on the Army’s recruiting campaign: “Army of One” from 2000 to 2005. The government alleges that the agency over-charged the Army for advertising work, by submitting false and fraudulent bills.

In the settlement, Leo Burnett disputes the allegations and does not admit any wrongdoing. The company, in a statement, says it agreed to the settlement to avoid the distraction and cost of a trial.

The agreement stems from a lawsuit filed by two former Leo Burnett employees. The whistleblowers will receive nearly $3 million of the settlement money.

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