theodp writes "IBM has been temporarily banned from receiving future contracts with federal agencies, the Environmental Protection Agency confirmed on Monday. The suspension went into effect last Thursday due to 'concerns raised about potential activities involving an EPA procurement,' the agency said in an e-mailed statement. Under a reciprocal agreement among federal agencies, when one issues a ban, the others follow it. The EPA said it will not comment further on the matter. An IBM spokesman said he had no immediate comment. 'You don't see this very often, particularly for large companies,' commented a stunned industry analyst, mentioning a bankrupt MCI as a notable exception. IBM earned an estimated $1.5 billion in revenue from federal prime contracts in fiscal 2007."
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