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Report: IRS Official Awarded $50 Million in Contracts to Friend of Official

House investigators say the largest contract issued by the Internal Revenue Service in the last 15 years has been award fraudulently, but the agency has no plans to revoke it.

House Oversight and Government Reform Committee Chairman Darrell Issa, R-Calif., said the IRS handed a $266 million purchasing agreement to Strong Castle, an information technology company based in Leesburg, Va., based on the company owner's "longstanding relationship," with an IRS deputy director Gregory Roseman, who is in charge of the agency's Enterprise Networks and Tier Systems Support.

The company was recently named "small business contractor of the year," by the Treasury department.

According to Issa, the company earned a Service-Disabled Veteran-Owned Small Business designation based on the owner's injuries sustained during military prep school and not during active duty or in combat for the U.S. armed forces.

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