Sprint spared debarment

Sprint is off the hook.

The General Services Administration has decided not to propose barring the firm from new federal contracts, Sprint officials said today.

GSA had been considering the action after Sprint overbilled the government by about $2.6 million. Sprint, which characterized the charge as a billing error, settled a lawsuit in June for $5.2 million. Company officials considered the matter over until GSA alerted them of the continuing probe in August, according to a company spokesman.

Sprint has since changed its internal processes that led to the error, the spokesman said.

"We are pleased with the GSA's findings," said Howard Janzen, president of Sprint's Global Markets Group. "Sprint has been a trusted partner of the federal government for years, and we look forward to continuing to provide best-in-class network solutions to our government customers."

Sprint serves over 150 federal agencies and bureaus under the FTS2001 governmentwide contract.