How does the US Government reward companies that fail miserably? The same way the rest of corporate America does. CEOs of US companies are notorious for getting huge severance packages after being sacked for doing a bad job. Not much of an incentive to do a good one.
Now Choicepoint (you know, the folks who gather all kinds of error-prone data on you), are getting some of the same. After getting a bunch of their data hoisted, and that leading to a pack of identity thefts, Choicepoint has been rewarded for their screwup with an Internal Revenue Service contract.
It gets better..