On April 8, 2022, G&C Equipment Corporation (G&C), a California-based construction materials supplier, entered into a deferred prosecution agreement (DPA) with the U.S. Attorney’s Office for the Central District of California. The DPA required G&C to pay a $650,000 criminal penalty for making false statements regarding the company’s eligibility to participate in DOT’s Disadvantaged Business Enterprise (DBE) Program. Specifically, in …

U.S. Attorney’s Office Southern District of Illinois issued the following announcement on Jan. 27. FAIRVIEW HEIGHTS, Ill. – United Ironworkers (“United”), D&K Welding Services (“D&K”), Kim Rasnick, and Dorrie Wise-Harris have agreed to pay the United States and the State of Illinois $440,000 to resolve a civil False Claims Act investigation relating to fraud on the Disadvantaged Business Enterprise (“DBE”) programs of …

AUSTIN – U.S. Attorney Ashley C. Hoff of the Western District of Texas announced today that Muniz Concrete and Contracting, Inc. (“Muniz Concrete”) and its owner, Jose Juan Muniz, have agreed to pay $188,879.59 to resolve allegations they violated the False Claims Act by falsely certifying their compliance with certain requirements of the Department of Transportation’s Disadvantaged Business Enterprise (“DBE”) …

On July 12, 2021, Spectrum Painting Corp. (Spectrum), entered into a civil settlement agreement with the U.S. Attorney’s Office for the Southern District of New York. Spectrum agreed to pay $400,000 to resolve allegations of fraud connected to contracted painting work on the Federal Highway Administration–funded Brooklyn Bridge Rehabilitation Project and the Federal Transit Administration–funded Queens Plaza subway station painting …

Defendants Repeatedly Failed to Disclose That a Non-DBE Subcontractor Performed Work Exclusively Attributed to Their DBE The United States filed and settled a civil fraud lawsuit against NAUGHTON ENERGY and two of its owners, its president, MARIETTE NAUGHTON, and her husband, JOSEPH NAUGHTON.  NAUGHTON ENERGY, a Pennsylvania-based fuel distributor, supplied diesel fuel to vehicles and equipment used in connection with …

Connecticut Contractor Agrees To Pay $3.2 Million To Resolve Criminal and Civil Investigation On January 8, 2021, the U.S. Attorney’s Office for the District of Connecticut entered into a civil settlement agreement with Ducci Electrical Contractors, Inc. Ducci agreed to pay more than $3.2 million plus interest to resolve allegations that it violated the False Claims Act.   On the …

On April 30, 2020, the U.S. Attorney’s Office for the Northern District of New York entered into a civil settlement agreement with Northland Associates, Inc. (Northland); JDS Construction (JDS); James Tyler, co-owner and president of Northland/JDS; and the Diverse Construction Group, LLC (Diverse). The four defendants agreed to pay a total of $4.35 million to resolve civil False Claims Act …

On November 6, 2019, Stamatios “Tom” Kousisis was sentenced in U.S. District Court, Philadelphia, Pennsylvania, to 70 months’ imprisonment, 36 months’ supervised release, and $18,600 in fines and fees for his role in a multimillion dollar Disadvantaged Business Enterprise (DBE) fraud scheme. In August 2018, Kousisis, and his employer, Alpha Painting and Construction, Inc. (Alpha), were found guilty of wire …