Afro-Lecon, Inc., v. United States

Afro-Lecon, Inc. (plaintiff) contracted with the government (defendant) to provide filing cabinets to the General Services Administration (GSA). After disagreements, the parties terminated the contract and agreed that Afro-Lecon could assert claims related to completed parts of the contract. Afro-Lecon submitted a claim for costs, which was denied. Afro-Lecon appealed to the GSA Board of Contract Appeals (the board). Afro-Lecon did not respond satisfactorily to discovery requests made by GSA, so the board issued an order of accounting requiring a detailed description of Afro-Lecon’s claim. Afro-Lecon learned it was the subject of a grand jury investigation related to the civil claim and requested that the board grant a stay of the civil-claim proceedings. Afro-Lecon stated that witnesses necessary to complete the order of accounting were instructed by counsel not to cooperate to avoid potential self-incrimination, so Afro-Lecon could not comply. The board denied the motion. Afro-Lecon was indicted by a grand jury for making false claims against the government in connection with the civil claims. A prosecution investigator attended a civil deposition that included evidence outside the scope of the criminal discovery process without identifying himself. Afro-Lecon renewed its motion for a stay of proceedings, which the board again denied. The board dismissed the civil claim with prejudice. Afro-Lecon appealed.