Xerox Sells Veterans Affairs Contractor To The French

Veterans Affairs Contractor

Benjamin KrauseXerox recently sold its IT division that included its Veterans Affairs contractor arm to a French company called Atos. Some question the move and raise concerns about how this will affect the future of contracts currently processed by Xerox.

And these same people have right to worry. Atos is plagued with similar scandal riddled history as the VA where disabled and disadvantaged people were lowballed by corporate policies focusing on screwing the disabled rather than fairly administering duties. And that scandal plagued history is similar to the Xerox company included within the deal, Affiliated Computer Services.

It’s like “birds of a feather flock together” accept the birds are more like greasy men in an 80’s Wall Street movie where “Greed is good,” to borrow a phrase from Gordon Gekko. But do we want Gordon Gekko types managing anything dealing with our benefits? Check out these Atos scandals regarding how they manage disability benefits for England:

RELATED: Disability benefits assessment ‘unfair’ says disabled worker

Will this affect any government contracts still outstanding or currently being performed? Let’s hope it doesn’t, since veterans do not need addition corporate profiteering to impact the speed of decreasing the backlog.

Under the Affiliated Computer Services banner, Xerox has provided business systems management services to numerous state and Federal agencies. These services ranged from privatizing social welfare systems like food stamps to processing veterans’ disability compensation claims. Affiliated Computer Services also became notorious for failures to privatize medicaid in Indiana and developing horrendously managed call centers that served more as roadblocks for citizens seeking help accessing state benefits.

RELATED: Former ACS employee highlights call center problems

According to Computer Weekly:

The French IT services supplier will triple its size in the US through the takeover and will get a large business process outsourcing and document outsourcing businesses.

Atos will add Xerox’s clients to its portfolio and try to sell more digital services to them.

For a little background, in 2010, Xerox bought Affiliated Computer Services, run by billionaire tycoon Darwin Deason, owner of the 15th largest yacht amongst America’s top 400 richest people according to Forbes.

From that point, Veterans Affairs contracted with Xerox’s Affiliated division to help develop initial disability claims and scan in veterans’ records. The former deal was a huge failure, and Affiliated reportedly failed to process the claims as promised.

Rumors on Capitol Hill indicated the company not only failed to process initial disability claims in a timely manner, but when Affiliated learned it would not profit from the deal, they instead dumped claims files on Veterans Affairs doorstep on pallets in a disorganized mess. This clearly contributed to a growth in the backlog in 2012 but went unreported. The Xerox company still maintained contracts with Veterans Affairs to perform other services.

Did you think that “profit before country” corrosive corporate culture will still be there when the French take over the deals? Will the French ensure the US government contracts get processed in an effective and efficient manner? How will our government ensure accountability for security of private medical and financial records?

RELATED: Utah privatizes Medicaid – Corporations running medicaid could save the state money, but what will it cost the people?

Now that Xerox is selling its entire IT division to Atos that includes selling Affiliated Computer Services and its contract rights, maybe it is time Congress takes a closer look at securing veterans data. But perhaps profits from selling these rights likely still include Veterans Affairs contracts in addition to those of other US government agencies will overshadow security:

Atos CEO Thierry Breton said expansion in the US is a part of a three-year strategic plan.

“This transaction will allow us to strengthen our footprint in the US market which is an early adopter of high growth innovative technologies and to access a pool of talented and highly skilled technologists,” said Breton.

How do you feel knowing a French company will now be managing disability compensation claims? Where will the data for the claims be stored? What other foreign companies are penetrating our national security and veterans affairs contracts?


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  1. When I go to a VA hospital, which I do on occasion for certain things, I see all the people there wearing one of three neon signs blinking on their head: 1) I am a stupid jerk and therefore dangerous 2) I am a crook and found how to make money from this shit screwing everyone 3) I just don’t give a fuck and I hope I’m out of here soon. Although wordy for neon signs, their heads are large enough to support the big neon hardware streaming this…which I’m afraid to ask “which company sold that to you?”

  2. With insider entry, LOW BALL offers accepted, and CONTINGENCY ADD-ONS also accepted. That is how the worst companies make money: by lining pockets of insiders who allow their entry.

    Ben, sue them for us Vet’s as a group settlement and keep the whole thing!! McDonald crossed the line on this one, and NOW he needs to go.

  3. Protest stop spending money on those that d don’t support us let’s get a petition going a nd send to our rep. The vet . organization aren’t speaking up but take our money.

  4. The” terrorists” are very much interested in getting rid of U.S. suffering Veterans. However, the “terrorists” investments are of their knowledge are of that WE suffering “Veterans don’t have too long to live. Yes, the terrorists are being paid to “wait” ; they will be able to afford a… “bettor….” celebration , later. Yes, Mr. Krause, people understand the information: Yes, imagine, of purchasing a lottery ticket, the licensed retail location CASH REGISTER “Machine” RECEIPT / Jackpot Ticket was/is free for the asking to all. Did you read the DVA Jan. and June 2010 Compensation & Pension Bulletins. Did you read Congressional Research Services / Statutory Presumptions; and, did you read the Court Order ruling Congress’ Intent : The Nehmer Training Guide Feb. 2011 ? Yes, Mr. Krause, why aren’t all lawyers across the U.S.A. are freely of serving their country to making law suits against the DVA for CONTEMPT of Congress’ Intents ? A start might be a suit filed against DVA -Attn: Nehmer Working Group Lawyers- Washington DC I’ve already exposed the “TORTS” also of the Buffalo DVA and the Nehmer Working Group.! Yes, Mr. Krause, merciless mercenary lawyers think they deserve 25 % (and greater) of “to win” Retro Compensation for U.S. suffering Veterans. Just for laughs …… “OF” SETI: the DATA received was written down (recorded) as (let’s say): iiiii WOW iiiii yet, of “across” the vastness of space ( from across the short distance sitting at a dining room table) that which was recorded (at the time) appears : !!!!! MOM !!!!! Or, was the search inferences to find (let’s say) !!!!! MOM !!!!! ( : ) !!!!! MOM !!!!! … answered.

  5. It’s also time to boycott Xerox every way possible. Just another way of selling every American that has served, out for our service. Might as well put a bulls eye on our back. This F’n gov’t keeps throwing us to the wolves. How much fight is still in each of you?

    1. I’ve been battling Xerox since January 2013 in US district court southern district Indiana on my own to stop them from killing and permanently injuring people at the VA and within Medicaid and medicare. 1:13-cv-00097-SEB-DML. Would love any help anyone can give me. It;s been a long hard fight and I am tired…

  6. What do I think? That France is a socialist country, therefore the socialist Obama government will do nothing.

    1. Um, this contractor game has been going on for many many years, well before Obama took office. I think as a country we should know more about the government contractors who are supporting our agencies. If the contractors totally went away from VA, the agency would crumble. For the 300k VA employees, another 1 million contractor employees likely support the work. For example, at Minneapolis VAMC, there are countless contractor physicians and residents who seem to do the majority of the work. The take away is that our government is contractor dependent, and for that reason we need to know more about who runs our agencies and where they are located.

      1. Understood. Remember, I spent 36 years in government. But remember Boeing and Aerobus. Some things are not meant for shipment to foreign governments. Would you consider it kosher if the VA said they couldn’t produce documents you require for a case based on cost overruns on the Xerox contract?

      2. Ben, and everyone is missing the forest for the trees: McDonald is still on the Board of Directors of Xerox. Do the math, please.

      3. Contractors have the upper hand and the DVA allows them to do so. They provide poor quality workmanship and sometimes people who provide even poorer quality when working with and caring for veterans. I was told by a home health aide that she gets paid $25 for working 3 hours per day. Which equates to $125 per week and then taxed on that. However, if I were to hire that same agency to staff for additional hours like say an additional 5 hours per day we as the veterans would have to pay this agency $20.75 per hour. That would be $103.75 that is four times more than the aide is paid.

        Something has been eating away at me since I saw those figures. Like supposed the DVA sends people into the homes of veterans at the lowballed rate of pay ($25 for three hours) to pull the veterans into paying for the additional hours needed to make an 8 hour day. Then the agency would get paid an additional $518.75 just for five days at five additional hours per day. If the family chooses to utilize the agency for an entire month just Monday through Friday the veterans would have to pay out of pocket an additional $2075.00 per month. So how is that fair to anyone but, Comfort Keepers, Visiting Angels, Home Instead, Unity Home Health, Healthkeeperz, just to name a few?

        This has been truly bothering me a lot. We as veterans are getting sold out and not to the highest bidder. When you see and experience this first hand, it makes you ill. Plus the fact the staff at these agencies are rude and nasty to not just the veterans but the people who they send into the homes. So how is it that they can expect quality care? Or even provide the veterans the best quality of life?


  7. “Of” Congress’ intent:
    The Nehmer Court Order states: VA compensates class counsel for all of it’s work on Nehmer claims. “OF” Congressional Research Services / Statutory Presumptions… infers Congress’ intent. Of the Nehmer Court Order, you will find the Nehmer Working Group (lawyers) address:
    Department of Veterans Affairs
    Compensation & Pension Service (211A)
    Attn: Nehmer Working Group
    810 Vermont Ave NW
    Washington DC 20420
    Please be sure you read…the Nehmer Training Guide February 2011 … for the correct address. Yes, CRS / Statutory Presumptions is a must read for ALL VETERANS that served anywhere.
    OF “NO BOOTS ON GROUND” read (be instructed by ) The January 2010 Compensation & Pension Bulletin Policy (211) and June 2010 C&P Bulletin + Received by the Senate Committee on Veterans Affairs ( for all Vetetrans !!!!!)
    [email protected]

  8. In an age of massive Information Technology, along with the recent terrorist threat of making certain number of military/Veteran’s personal info (home addresses, etc.) and publicizing this as “hit list” for terrorist sympathizers in the USA to seek them out and kill them…well, this VA outsourcing of Veteran’s Disability Claims is more than disturbing and I actually suspect that WAY MORE veterans and Active Military info was publicized on this “hit list” than they are admitting, which according to the US Gov’t., exactly -100- were affected….way too “even of a number” and I believe not having our information totally locked-down and secure was a HUGE FAILURE of DOD, which simply claimed that, “This information is Public Knowledge available to *anyone* with a computer…”!!!!!!!!!!!! I call that BS!
    I suspect that this outsourcing to a French Company is simply a very underhanded way for the DOD to place on the blame to a Sub-Contractor, rather than accepting the failure of protecting Veteran’s data, especially in a time of still engaged in longest US War in our Country’s history.
    How are we to know what kind of IT Security this French Company will employ, if any? What’s also alarming is fact that France has had a HUGE problem with Radicalized Islamic Muslims AND a HUGE fluctuating Muslim populace traveling back and forth to Terrorist Training Camps…and even just recently the French admitted they have no real plausible method to keep track of such actions in their country…this ALL came to light with the Museum Attack and other terrorist attacks in France last month.

    With all that said, and while still engaged in a much larger war than they wish to enlighten the US Public that we are engaged in with no end game realistically in sight, WHY would a French Company, let alone ANY foreign Corporation be given contracts to handle Veteran’s Compensation Claims, when we could have utilized our own resources within the USA, again, especially while actively engaged in a globally spanning war on terrorism?
    Will this simply be an easier or more convenient way for the VA to MAGICALLY LOSE YOUR WHOLE CLAIM FILE??!!!
    This whole things smells of crotch-rot…and that was the nicest term I could come up with early this morning. Why have we not taken lessons learned during the very long Cold War?
    I think Veterans and Active Military personnel have quite a lot to be worried about in this outsourced venture and is simply reckless, fueled by corporate greed!!!!
    OH…ACS also has been involved with The Dept. of Education, handling College Loan Consolidation Services as well. I know because when my VA Svc. Connected 100% P&T was approved, I was able to have my student loans that were handled by ACS to be completely absolved and eliminated and that definitely was the Xerox subsidiary called ACS. Incidentally, you are only able to have all your student loans forgive/eliminated if you are 100% P&T Service Connected Disabled, as I had to obtain official VA letterhead letters documenting my Svc. Connected status from the VA, which surprisingly was not a huge headache to go through…all over the phone, then months later received official notice from ACS and Dept. of Ed. that my $46,000. in student loans were no longer my responsibility. It also completely RUINED my credit because believe it or not, if all your student loans or even if you were able to pay-off a credit card in it’s entirety, it actually places a very LARGE dark mark on your credit report that will not go away over time…so I was screwed in the process but at least have those loans off my back and less stress…thought to share this little fact about ACS and the stipulations in place for a 100% Svc. Connected P&T can have your student loans paid off…it’s not widely publicized, and again only found about this through website….I owe them so much more than I could ever repay so I simply try to let Veterans know about that excellent website.
    Outsourcing our personal info places each of us that served at great risk because I can only imagine the lack of security measures in place to prevent terrorists or other entities in collecting our sensitive information that could in fact be used to kill us in other ways not imagined before as the recent terrorist hit list substantiates.

  9. 04/01/2015

    Dear Benjamin Krause,

    Where did Xerox come from? Is this one of FedBid’s favored procurements?

    How far will the Media dig in?

    Was there not another a Veteran Owned Company to do this job?

    Who signed off on this contract?

    Where is Peake & Principi and Lockheed in this whole mix?

    Why were we not told of this problem earlier?

    Or is this an April Fools joke?

    Affiliated Computer Services Inc. (ACS) provides information technology services as well as business process outsourcing solutions to businesses, government agencies, and non-profit organizations. ACS is based in Dallas, Texas and the current CEO is Lynn Blodgett. ACS is ranked at number 341 on the 2010 Fortune 500 list.[2] Founded in 1988, by Darwin Deason, ACS now operates in nearly 100 countries, generating over $6 billion annually. As of September 2009, ACS employs approximately 74,000 people.[3]

    On September 28, 2009, Xerox Corporation announced plans to acquire ACS in a $6.4 billion transaction.[4][5] The deal closed on February 8, 2010.[6]

    Sounds like Xerox dropped the ball and or was conned into buying it during the big Financial Scandal, “the Great Recession.”

    Mismanagement? Or a set-up for a sell-out like over at McDonald Douglas in 1991—-Treason—“Yes, we are selling out America,” Robert Hood at Boxer’s Congressional onsite hearing in 1992.

    Are we back to freedom fries?


    Don Karg

  10. This is no doubt something that will benefit the VA at the expense of veterans. In all probability it will make appeals more difficult for disabled veterans thereby decreasing their backlog at the VA, and things like FOIA requests will get thrown out the window, and no telling what all else!

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