Department of Defense
DIRECTIVE
NUMBER 7050.4
October 21, 2004
Certified Current as of October 18, 2006
IG DoD
SUBJECT: Awards for Cost Savings Resulting from the Disclosure of Fraud, Waste, or
Mismanagement
References: (a) DoD Directive 7050.4, “Awards for Cost Savings Resulting from the Disclosure of
Fraud, Waste, or Mismanagement,” September 7, 1984 (hereby canceled)
(b) DoD Directive 5106.01, “Inspector General of the Department of Defense,” April 13,
2006
(c) Sections 4511-4513 of title 5, United States Code, “Awards for Cost Savings
Disclosures”
(d) DoD 1400.25-M, Subchapter 451, “Awards,” December 1996
(e) Appendix, Section 7 of title 5, United States Code
(f) Section 2105 of title 5, United States Code
1. REISSUANCE AND PURPOSE
This Directive reissues reference (a) under the authority of references (b) and (c) and updates the
Inspector General of the Department of Defense (IG DoD) program for granting cash awards to DoD
civilian employees whose disclosure of fraud, waste, or mismanagement to the Office of the IG DoD
(OIG DoD) results in cost savings to the Department of Defense. It also provides a mechanism for the
IG DoD to nominate employees to the Director, Office of Personnel Management, for Presidential
awards for such disclosures that result in substantial savings.
2. APPLICABILITY AND SCOPE
2.1. This Directive applies to the Office of the Secretary of Defense, the Military Departments, the
Chairman of the Joint Chiefs of Staff, the Combatant Commands, the Office of Inspector General of the
Department of Defense, the Defense Agencies, the DoD Field Activities, and all other organizational
entities within the Department of Defense (hereafter referred to collectively as “the DoD Components”).
2.2. This Directive covers DoD civilian employees, either individually or in groups.