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byline: Richard Foster

Leidos snags $292M FAA contract

Reston-based Fortune 500 federal contractor Leidos Holdings Inc. announced Tuesday that it was awarded a $292 million contract from the Federal Aviation Administration to design and develop a system to provide air traffic controllers with real-time access to essential weather, aeronautical and National Airspace System (NAS) information through a common display system.

Work on the project will be performed in Chesapeake, as well as in Gaithersburg, Maryland, and Eagan, Minnesota.

“Our nation’s air traffic controllers keep the NAS safe, relying on the display of multiple data sources to perform their critical mission,” said Fran Hill, senior vice president of Leidos Transportation Solutions, in a statement. “Our job at Leidos is to help controllers do their work more efficiently. The new E-IDS will enable them to access standardized data, customize their displays and operate with two clicks or less.”

With 37,000 employees, Leidos reported more than $11 billion in revenue for 2019. The contractor ranks No. 311 on the Fortune 500 and has performed contract work for the FAA for more than 50 years.

Palo Alto Networks to acquire McLean tech firm for $265M

California-based cybersecurity powerhouse Palo Alto Networks announced Tuesday that it has entered into a definitive agreement to acquire The Crypsis Group, a McLean-based incident response, risk management and digital forensics consulting firm, in a $265 million, all-cash transaction.

The firm’s CEO, Bret Padres, will join Palo Alto Networks. The Crypsis Group currently operates as part of the McLean-based ZP Group, an organization with a portfolio of companies specializing in breach response, national security solutions and IT staffing.

“The proposed acquisition of The Crypsis Group will significantly enhance our position as the cybersecurity partner of choice, while expanding our capabilities and strengthening our Cortex strategy. By joining forces, we will be able to help customers not only predict and prevent cyberattacks but also mitigate the impact of any breach they may face,” said Nikesh Arora, chairman and CEO of Palo Alto Networks, in a statement.

The Crypsis Group employs more than 150 security consultants, who respond to more than 1,300 security engagements per year. Named one of the Top 10 Digital Forensics Services Companies of 2019 and 2020 by Enterprise Security magazine, The Crypsis Group has served more than 1,700 organizations across the health care, financial services, retail, e-commerce and energy industries.

“We have dedicated ourselves to creating a more secure world through the fight against cybercrime. Together with Palo Alto Networks, we will be able to help businesses and governments better respond to threat actors on a global scale,” Bret Padres, CEO of The Crypsis Group, said.

 

 

Navy Federal hires new CFO

Vienna-based Navy Federal Credit Union has hired John Collins, a 20-year veteran of Capital One Financial Corp, as its new chief financial officer.

“John brings with him a wealth of experience that will serve Navy Federal well,” said Navy Federal President and CEO Mary McDuffie. “I know with his proven track record, John will hit the ground running in our mission of providing award-winning service.”

Collins holds a bachelor’s degree in accounting from the University of Richmond. He previously served as an executive in capital markets and risk analytics at McLean-based Capital One, where he also led two of Capital One’s bank acquisitions and integrations. Among his roles, he has served as controller for an acquired bank and as CFO for a line of business and chief of staff to a CFO.

“I’m honored to join Navy Federal and its rich tradition of serving those who have served and the communities that support them,” said Collins. “It’s clear that everyone in the organization – from our teams in contact center, digital teams and beyond – that there is a heavy emphasis on prioritizing our members’ needs and making their financial mission our own. I look forward to working with and learning from the team, and using my broad experience managing different facets of an organization’s finances to help continue making these goals a reality.”

The world’s largest credit union, Navy Federal has more than 9 million members worldwide. With a global network of 341 branches, it has more than 21,500 employees.

Excella promotes five to senior leadership positions

Arlington-based tech company and federal contractor Excella has promoted five executives to more senior leadership positions.

“Hiring and retaining exceptional Excellians, while creating meaningful solutions, is critical to our purpose and what we built Excella to do,” said Burton White, CEO and co-founder of Excella. “Each of these Excella leaders is instrumental to the growth of our organization, investing their professional passion, impacting our clients, and helping others cultivate exceptional careers.”

Jaman Botts was promoted to director of workforce management. Previously the company’s research manager, he will be responsible for managing, developing and executing Excella’s resource management and workforce strategy. Before joining Excella, he worked for Clinovations, Grant Thornton LLP and Fannie Mae before joining Excella.

Beth Gomolka is now Excella’s vice president of national security and will be focused on expanding existing national security work and landing new federal contracts. She was previously director and market owner of national security.

Sarath Ravella was promoted to vice president of strategic initiatives and will grow Excella’s presence in new markets, focusing on defense business development efforts. Ravella was Excella’s director and market owner of defense.

Tony Solomita is now vice president of innovation. He manages Excella’s innovation engine and the company’s portfolio of delivery-related intellectual property and external thought leadership activities. He was formerly the company’s director of innovation and agile practice lead.

Claire Walsh was promoted to vice president of engineering and services after previously serving as director of that division. She will maintain Excella’s capability portfolio for sustainability and growth and establish baseline delivery practices.

 

Liberty board confirms Jerry Falwell Jr.’s indefinite leave

Update, Aug. 24:  In a statement, Jerry Falwell Jr. alleges former friend blackmailed his family over affair with Falwell’s wife.

At a special meeting Friday, Liberty University’s Board of Trustees affirmed the terms of Jerry Falwell Jr.’s indefinite leave of absence and the terms of employment for the school’s acting president, Jerry Prevo.

“The decision whether or not to retain Falwell as president has not yet been made,” according to a statement from the Lynchburg-based conservative Christian university. “The board requested prayer and patience as they seek the Lord’s will and also seek additional information for assessment.  The university and its board members have decided to not publicly comment on the various rumors and claims about Falwell at this time.”

The university’s statement confirmed that Falwell’s leave of absence as Liberty’s president and chancellor is paid. Also, the board directed that “Falwell may not act as president, use any powers of the university president, and may not communicate with employees to manage, direct or interfere with the operations of the university.” However, the university said that Prevo may consult Falwell or seek background information from him.

Falwell took the indefinite leave Aug. 7 at the request of the executive committee of Liberty’s board of trustees. The move followed an uproar over an Instagram photo Falwell posted of himself and his wife’s assistant. Taken at a yacht party, the photo shows Falwell with his arm around the woman, while both of their pants are partially unzipped and Falwell is holding a glass of dark liquid that he said was “black water” and “a prop.” During a local radio interview, he later apologized for embarrassing the woman and said he had promised his children, “I’m going to try to be a good boy from here on out.” He explained that his wife’s assistant was pregnant and couldn’t zip or button her pants and that he was emulating her as a joke.

Politico reported Thursday that Falwell’s personal use of a 164-foot yacht owned by NASCAR’s Rick Hendrick of Hendrick Motorsports is under scrutiny. The controversial Instagram photo was taken aboard the yacht. Liberty has sponsored a Hendrick Motorsports racecar for the last two years; such deals typically are worth millions of dollars. Falwell has used the yacht, which rents for at least $200,000 a week, numerous times, according to Politico. A Hendrick spokesperson told Politico the yacht’s use was not part of the agreement with Liberty, but Liberty’s spokesperson would not confirm that. Politico quoted an anonymous Liberty employee as saying, that the yacht “was never used for university business, never used to try to better the university. It was always [for] Jerry [and his wife,] Becki. Always.”

With more than 110,000 students enrolled, most of them online, Liberty is Virginia’s largest school by enrollment and is the nation’s second-largest online university, behind the University of Phoenix.

Liberty’s next scheduled board meeting is Oct. 30.

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SEC charges Herndon-based tech company, CEO with fraud

The Securities and Exchange Commission announced charges Thursday against Herndon-based Kelvin Boon LLC/Boon.Tech and its CEO, Rajesh Pavithran, for fraud and registration violations in connection with a $5 million initial coin offering of digital asset securities.

Without admitting or denying the SEC’s findings, Pavithran and his company agreed to settle the charges by consenting to the issuance of the SEC order, which requires Boon.Tech to disgorge the $5 million raised in the ICO plus prejudgment interest of $600,334.

Between November 2017 and January 2018, Boon.Tech and Pavithran raised approximately $5 million by selling Boon Coins to more than 1,500 investors in the U.S. and worldwide, according to the SEC’s order. The ICO was intended to raise funding to develop and market a platform to connect employers posting jobs with freelancers seeking work.

The SEC found that the coins were offered and sold as investment contracts and were therefore securities, and that Boon.Tech and Pavithran did not register the ICO as required. Further, the SEC alleges that Pavithran and Boon.Tech made false and misleading statements, including claims that Boon Coins were stable and secure because Boon.Tech’s platform eliminated volatility inherent in the digital asset markets by using patent-pending technology to hedge Boon Coins against the U.S. dollar, when in fact Boon.Tech had no such technology or a patent pending.

Boon.Tech and Pavithran also misrepresented to investors that Boon.Tech’s platform was faster and more scalable than competitors because it was built on Boon.Tech’s own blockchain, according to the SEC, when in actuality the platform was being developed on the same public blockchain as its competitors.

“Investors are entitled to truthful disclosures from issuers of securities, whether digital or otherwise,” said Kristina Littman, chief of the SEC Enforcement Division’s cyber unit.  “Pavithran and Boon.Tech defrauded investors by convincing them to fund this endeavor based on the allure of innovation that simply did not exist.”

The SEC’s order finds that Boon.Tech and Pavithran violated the antifraud and registration provisions of the federal securities laws.  The order also requires Boon.Tech and Pavithran to destroy all Boon Coins in their possession, issue requests to remove Boon Coins from any further trading on all third-party digital asset trading platforms and refrain from participating in any future offerings of digital asset securities. Further, the order requires Pavithran to pay a penalty of $150,000 and bars him from serving as an officer or director of a public company.

Washington Football Team to play 2020 home games without fans

Starting with its Sept. 13 season opener versus the Philadelphia Eagles, the Washington Football Team will play its 2020 season home games at FedExField without spectators due to the coronavirus pandemic, the Ashburn-based team announced Wednesday.

The NFL team formerly known as the Washington Redskins said it had developed “a comprehensive health and safety plan” for reopening the stadium in Prince George’s County, Maryland, in cooperation with state and local officials, but it has decided not to allow fans to attend home games this season “out of an abundance of caution due to the rapidly changing dynamics of the COVID-19 pandemic.” The team said it would re-evaluate the decisions if the pandemic improves during the 2020 football season.

Season’s ticket holders are being contacted about financial alternatives to their tickets, the team said.

“We are fortunate to host the best fans in the NFL year after year, but the well-being of those supporters, along with that of our players, coaches and each and every member of our gameday staff is simply too important, and the current knowledge of COVID-19 too unpredictable, to welcome our fan base to FedExField to start the season,” Washington Football Team owner Dan Snyder said in a statement. “We were the first team in the league to recall our scouts and other personnel from the field back in mid-March and have been monitoring this evolving situation ever since. This decision was not an easy one, but after several discussions with federal, state and local officials – along with input from some of the nation’s foremost medical experts, based right here in the nation’s capital – we are confident that it is the right one. We are working to find ways to make our fans’ presence felt in new and innovative ways for 2020 and can’t wait to welcome the community through the gates as soon as it’s safe.”

 

Dominion taps new CEO, rearranges top leadership

Robert M. Blue
Robert M. Blue

Dominion Energy Inc. Chairman, President and CEO Thomas F. Farrell II will become executive chair effective Oct. 1. Robert M. Blue, the Richmond-based Fortune 500 energy utility’s executive vice president and co-chief operating officer, will succeed Farrell as president and CEO, the company announced Friday.

Also on Friday, Dominion announced an unaudited net loss of $1.2 billion for the three months ended June 30, 2020, compared with a net gain of $54 million for the same period in 2019. The company cited worse-than-usual weather problems and costs associated with the Atlantic Coast Pipeline and Supply Header projects, as well as net gains on nuclear decommissioning trust funds in contributing to the quarterly numbers. On July 5, Dominion and Duke Energy announced they were abandoning plans to build the $8 billion, 600-mile Atlantic Coast Pipeline.

As a result of the leadership change, Diane Leopold, executive vice president and co-chief operating officer, will become Dominion’s sole chief operating officer, responsible for all the company’s operating segments. Edward H. “Ed” Baine will become president of Dominion Energy Virginia.

Farrell, who joined Dominion in 1995, became president and CEO in 2006 and chairman in 2007. He will continue to serve on Dominion’s board of directors.

“One of my goals as CEO was to build a strong leadership team and a long-term succession plan,” said Farrell. “Today’s announcement is the next step in that process. There is no established time frame for my role as executive chair, and I look forward to continuing to serve the company on behalf of our shareholders, customers and communities. I will be particularly focused on continuing to develop our strategic plan and Dominion’s leadership in the new clean energy economy.”

Blue joined Dominion in 2005 and has served in several top leadership positions, including as president of Dominion Virginia Power. Before working for Dominion, he was a counselor and director of policy for Gov. Mark Warner. He started his career as an attorney and partner at Hogan & Hartson and as a law clerk in the U.S. District Court in the Eastern District of Virginia. He serves on the University of Virginia Board of Visitors, is a board member and past chair of the Virginia Healthcare Foundation and also serves on the board for Communities in Schools of Virginia. Blue is a graduate of the University of Virginia, Yale Law School and the U.Va. Darden School of Business.

Leopold joined Dominion in 1995 and currently serves as chair of the American Gas Association. She sits on the Virginia Union University Board of Trustees and is on the board of directors of Markel Corp. and of the GO Virginia Foundation. Leopold is a graduate of the University of Sussex in the United Kingdom and has a master’s degree in engineering from George Washington University. She earned her MBA from Virginia Commonwealth University.

Baine, who in 2019 was named Dominion Energy Virginia’s senior vice president for power delivery, also joined Dominion in 1995. He started as as an associate engineer after earning a bachelor’s degree in electrical engineering from Virginia Tech. He is a member of the Virginia Tech Board of Visitors. He also serves on the boards of the Southeastern Electric Exchange Board of Directors,  the Dominion Energy Credit Union, ChamberRVA, Venture Richmond, CJW Medical Center, the Valentine museum and MEGA Mentors.

 

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Richmond oversees Confederacy’s second fall

In early July, J.E.B. Stuart was lowered onto a flatbed truck, along with the horse he rode in on.

Following a summer of nationwide protests over racial injustice, Richmond removed the last of the city-owned Confederate statues on Monument Avenue on July 7. That left only the state-owned Robert E. Lee statue, which Gov. Ralph Northam plans to remove pending a legal battle.

After Richmond protesters toppled monuments to Jefferson Davis and Christopher Columbus in early June, Richmond Mayor Levar Stoney ordered the emergency removal of 11 other Confederate statues on July 1, out of concern that protesters could be seriously injured taking down statues, as happened in Portsmouth in June.

The measure circumvented a new state law outlining a 60-day removal process. It also required the city, already hurting for revenue due to the coronavirus crisis, to spend an unbudgeted $1.8 million to remove the statues.

Stoney stated that removal funds would come from the city Department of Public Works’ budget, but that the city hoped to be reimbursed by private fundraising efforts.

The Fund to Move the Monuments, led by Richmond Realtor Shannon Harton, on behalf of the Maggie L. Walker Community Land Trust, was created to offset the costs. “Right now, our schools, our parks, our roads are paying for this and they already don’t have enough money,” says Harton. However, in its first three weeks, the fund had raised only $30,000 from around 450 donors.

Citing security concerns, Stoney initially refused to provide details about the removal, with his spokesman, Jim Nolan, saying, “We don’t measure doing the right thing in dollars and cents.” But later Stoney released documents indicating the removal was handled through NAH, a limited liability company formed on June 22 and registered by a Washington, D.C.-based attorney.

Council member and mayoral candidate Kimberly Gray has called for more transparency: “Knowing which contractors have been hired and what makes up that $1.8 million estimate — that’s public information.”

Besides, she says, Richmond’s underfunded public schools are just as much in need of emergency funding. She wonders if the city could have auctioned the statues to raise funds for the schools or paused the removal until enough private funds were available.

Ultimately, getting rid of the statues will be good for Richmond, says ChamberRVA CEO and President Brian Anderson. “As long as we can move to a place where we stand for what’s best for all people, we’ll do just fine economically.” 

Devon Bortz contributed to this story.

 

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OneWeb co-acquired by Maryland-based Hughes

Germantown, Maryland-based Hughes Network Systems LLC has joined a coalition with the United Kingdom government and Bharti Enterprises Ltd. of India to acquire London-based OneWeb, which has its U.S. headquarters in McLean, out of bankruptcy.

Hughes invested $50 million in the coalition to acquire OneWeb, which has plans to launch a constellation of 650 low Earth orbit satellites to provide Internet service to a global market that would include rural and remote regions where broadband has been unavailable. As of March, OneWeb, which was founded in 2012 and has offices in California and a satellite manufacturing center in Florida, had launched 74 of the satellites.

OneWeb filed for bankruptcy in May, citing difficulty in raising the funds needed to deploy the remaining 90% of its satellite constellation. It laid off 85% of its 531-person global workforce, but its satellite network is still functioning.

“We are pleased to be part of this winning team, along with the British Government and Bharti,” Hughes President Pradman Kaul said in a statement. “Our continuing and strengthened involvement with OneWeb extends naturally from our position as a leading geostationary satellite operator and ground network innovator, along with a meaningful partnership with Bharti and longstanding relationship with the U.K. through our business operations in both countries.

“This global consortium brings the right players together to fulfill the promise of the OneWeb constellation in deploying low-latency services for communities, enterprises, governments, airplanes and ships – complementing geostationary connectivity and ushering in the new era of multitransport services that will serve growing bandwidth demand around the world. We look forward to doing our part in developing this groundbreaking technology and bringing those services to market.”

Bharti Enterprises founder and Chairman Sunil Bharti Mittal said, “We are delighted to welcome Hughes to the consortium. The investment by Hughes underlines OneWeb’s exciting commercial prospects, reflected in the ongoing discussions with some of the world’s leading strategic and financial investors.”