Jan. 26 at 8:54 PM
Booz Allen Hamilton shares fell about 10% after the U.S. Treasury Department canceled all of the company’s federal contracts, valued at
$21 million, citing inadequate safeguards to protect sensitive taxpayer data. Treasury Secretary Scott Bessent referenced a 2023 tax return leak involving former Booz Allen employee Charles Littlejohn, who was sentenced to five years in prison for unauthorized disclosure.
Treasury did not specifically name President Donald Trump, but noted that leaked tax returns included those published by The New York Times and ProPublica. Booz Allen said it strongly condemns Littlejohn’s actions, emphasized that it does not store taxpayer data on its systems, and said it looks forward to engaging with Treasury on the matter.
Despite the sharp drop, Booz Allen shares remain up about 10% year to date but are down roughly 31% over the past 52 weeks, pressured by government spending cuts, contract reductions, and recent cost-cutting measures including layoffs.
$BAH $NYT