Treasury Cancels Booz Allen Cancels—Blames Whistleblower Who Leaked Trump's Tax Returns

Core Viewpoint - The Treasury Department has cancelled all contracts with Booz Allen Hamilton due to a data leak incident involving a former contractor, Charles Littlejohn, who was sentenced for leaking sensitive tax return information [1][2]. Group 1: Contract Cancellation - The Treasury Department will cancel a total of 31 contracts with Booz Allen, which are valued at $4.8 million annually and $21 million in total obligations [1][2]. - Booz Allen's stock experienced a significant decline, falling over 11% following the announcement of the contract cancellations [1][2]. Group 2: Data Security Concerns - Secretary Scott Bessent stated that the cancellation was aimed at restoring trust in the Treasury Department, citing Booz Allen's inadequate safeguards for protecting sensitive data [2]. - The incident involved Charles Littlejohn, who pleaded guilty to stealing and leaking tax return data from 406,000 taxpayers, including high-profile individuals [2][4]. Group 3: Background on the Incident - Littlejohn utilized broad search parameters to evade detection and stored the stolen tax information on personal devices, including an iPod, before delivering it to news organizations [4]. - The leaks coincided with reporting by The New York Times and ProPublica regarding the tax returns of wealthy Americans [4].