Cisco Settles Whistleblower Case for $8.6 Million

Cisco has agreed to pay $8.6 million to settle a whistleblower lawsuit that claimed the networking company knowingly sold video surveillance software to local, state, and federal agencies over a six-year period, containing serious security vulnerabilities. It is claimed to be the first whistleblower case in the U.S. related to cybersecurity.

James Glenn, a former contractor, blew the whistle on the company after bringing thee vulnerabilities in Cisco’s Video Surveillance Manager software to the attention of Cisco executives, and writing several detailed reports about the flaws in 2008. He brought the False Claims Act suit in 2011, but Cisco continued to sell the flawed products to governments until 2014. He will receive $1.6 million of the settlement money.