The Treasury press release says it is canceling all 31 Treasury contracts with Booz Allen Hamilton (31 separate contracts totaling $4.8 million per year and $21 million in total obligations). The release does not list each contract number or the specific services; it only states Booz Allen had access to sensitive taxpayer data through IRS contracts. Public reporting indicates the cancelled work was related to consulting/contract support to Treasury bureaus (including work tied to IRS systems), but exact contract identifiers and line‑item service descriptions were not disclosed in the Treasury statement.
Treasury said the cancellations are to protect sensitive data and restore trust; the press release does not detail operational impacts. News coverage and standard contracting practice indicate short‑term effects could include loss of contractor support for advisory/IT tasks and the need to reassign or rebid work, but the Treasury/IRS have not publicly described specific projects disrupted or mitigation plans.
According to DOJ court materials, Littlejohn used broad search queries to locate returns, evaded IRS monitoring designed to detect large downloads/uploads, and copied files to personal storage devices (including an iPod); he also deleted and destroyed evidence. TIGTA/oversight reviews later criticized IRS controls and notification processes in the large‑scale breach response.
The DOJ and IRS state Littlejohn stole and disclosed federal tax returns and return information (RTI) for a high‑ranking public official and for thousands of wealthy individuals; the IRS has determined about 406,000 taxpayers’ returns/return information were affected. Public filings describe copies of tax returns/RTI were taken and later provided to news organizations; the Treasury press release cites the 406,000 figure but does not list individual identities.
The Treasury press release does not list remedies. DOJ/IRS public materials and watchdog reports show the IRS has attempted to notify affected taxpayers and TIGTA reviewed the notification process; standard remedies include notifications, credit‑monitoring offers or guidance, and victim‑services information, but the agencies’ exact offers to the 406,000 (e.g., credit monitoring, identity‑protection services) are not specified in the Treasury release.
Treasury cancelled contracts; the Justice Department already criminally prosecuted Littlejohn (he pled guilty and was sentenced). The press release does not announce additional administrative or civil penalties against Booz Allen. Federal contract suspension, debarment, civil fines, or investigations by inspectors general or the DOJ could follow, but no public announcement of such penalties or a government‑wide suspension/bar has been made in the Treasury statement.
The Treasury stated the 31 contracts total about $4.8 million per year and $21 million in total obligations; the press release says it is cancelling them but does not explain the accounting treatment. Typically, obligations already incurred remain payable for valid performance and unliquidated balances may be de‑obligated or subject to settlement; Treasury/contracting officers must adjust obligations per federal acquisition rules, but the department did not detail the disposition of the $21 million in the release.
Federal contract cancelations are governed by the Federal Acquisition Regulation (FAR); agency contracting officers execute cancellations and settlements and may refer matters to agency inspectors general, the Civilian Board of Contract Appeals, or the Department of Justice for enforcement. The Treasury press release does not identify which oversight bodies reviewed or approved this action; typical oversight includes the agency contracting office, Treasury OIG/TIGTA (for IRS matters), and potential GAO or DOJ involvement if debarment or enforcement is pursued.