07:05 AM EDT, 09/25/2024 (MT Newswires) -- SAP SE ( SAP ) and software reseller Carahsoft Technology are being probed by the US Department of Justice for potentially conspiring to inflate prices on government contracts over the past decade, particularly with the US military, Bloomberg reported Wednesday citing federal court records filed in Baltimore.
The civil investigation is focused on whether SAP, Carahsoft, and other companies coordinated bids and prices for SAP technology and related services that have been acquired by the US government, amounting to over $2 billion since 2014.
Court records show the prosecutors are also reviewing the role of Accenture's federal services subsidiary and other software resellers.
According to the report, FBI agents and military investigators on Tuesday raided offices of Carahsoft in Virginia. However, it is not clear whether the search is related to the investigation of SAP, the report said. Carahsoft spokesperson Mary Lange said the raids were related to the "investigation into a company with which Carahsoft has done business in the past."
SAP did not immediately respond to requests for comment from MT Newswires.
(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)
Price: 223.36, Change: -7.57, Percent Change: -3.28