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: False Claims Act - Qui Tam

Road contractor settles federal whistleblower suit

By Qui Tam

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Gohmann Asphalt of Clarksville, Ind., will pay $8.2 million to settle allegations that the company falsified tests on asphalt samples on raods and highways in Kentucky and Indaina.

A former employee brought the suit under the qui tam provisions of the Federal False Claims Act. He alleged that company employees fraudulently swapped asphalt samples to increase payments to the firm on government projects.

In addition to repaying $8.2 million from work it completed on 132 federally funded road projects in Indiana and Kentucky, Gohmann will refund the $5.3 million bonus it received in 2001 for the early completion of work on Interstate64 in Kentucky, according to a December 11, 2007 article published in the News & Tribune.

Full post as published by False Claims Act - Qui Tam on January 03, 2008 (boomark / email).

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