TBA - NAVSEA TECHNICAL PUBLICATION

EB SPEC 2678Q Page 19 of 28 Appendix B

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B 3.0 Contract Compliance B 3.1

To demonstrate contract compliance with this specification, the Supplier is required to perform, and maintain records for, the following: a) Alert all employees to this (Fraud and Falsification) Appendix during new hire indoctrination. b) Annually provide refresher training to this (Fraud and Falsification) Appendix for all employees. c) A Fraud and Falsification notification poster serves as a visible reminder notice, and provides contact information should malpractice or fraud & falsification be observed or suspected. Suppliers are to post a DOD sanctioned reminder notice in conspicuous and prominent locations throughout the facility, especially work areas, at a minimum rate of one (1) copy for every fifty (50) employees. An example of a hotline poster can be found at: https://www.dodig.mil/Portals/48/Hotline%20Poster_072022_11x17_v3_1.pdf d) Include verification during internal quality audits that malpractice and F&F training is performed and reminder notices are posted. e) Include in audit requirements that auditors be alert for F&F during internal and external quality audits. f) Perform periodic and independent over-checks of final inspections and testing. g) Alert all Sub-Tier Suppliers of their F&F prevention obligations through pass down of this specification in Supplier POs. h) While performing on-site quality audits at Sub-Tier Supplier's facilities confirm and verify Sub-Tier awareness of F&F prevention. B 4.0 Examples of Fraud or Falsification  Issuing a procedure or instructions known to contain unauthorized deviation(s) to contractual requirements.  Knowingly waiving or eliminating a contractual requirement without authority to do so.  Deliberately accepting unsatisfactory work.  Intentionally performing unacceptable work.  Failing to report problems or unsatisfactory conditions in one’s own workmanship.  Verifying by signature that an action was taken, knowing in fact the action was not taken, or not performing the required checks or verifications to ensure the action was taken.  Verifying performance of action based on hearsay, not personal observation.  Tampering with calibrated instruments to avoid rejection of work.  Falsifying dates on records to comply with frequency or deadline requirements.  Falsifying data to cover-up a procedure or drawing deviation.  Falsifying data to have work accepted, thereby avoiding further work or rework.  Concealing or not reporting information on fraud, or falsification known to have been committed by others.

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