14 entities to pay $15.4M to settle suit alleging US agencies were overcharged for materials
By APFriday, February 26, 2010
14 entities pay $15M to settle price-fixing suit
LOS ANGELES — A Swedish manufacturer is among 14 defendants who agreed to pay the U.S. government a combined $15.4 million to settle claims they overcharged federal agencies for construction materials.
Federal prosecutors said Friday the settlement arose out of a whistle-blower lawsuit filed in 2005 by an executive at a competitor to Sweden’s Trelleborg AB.
Donald Farrow accused several companies and individuals of bid-rigging and price-fixing marine hose and marine fenders sold to the Navy and other agencies. The U.S. attorney’s office intervened in the lawsuit and negotiated the settlement.
The companies agreed to settle the lawsuit without admitting any wrongdoing.
Trelleborg and two subsidiaries previously pleaded guilty to felony antitrust charges.
