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DOJ Contractor Settles to Resolve False Claims Act Allegations


On January 13, 2021, the Public Service Commission of West Virginia approved an agreement entered into between the Preston County Public Service District and the Department to pay $100,000 to resolve allegations that the Preston County Public Service District submitted false claims to the government for sewer services for the Federal Correctional Complex Hazelton in Bruceton Mills, West Virginia.  According to the settlement agreement, the government alleged that from in or about November 2013 through in or about August 2020, Preston County Public Service District knowingly overbilled the BOP by billing the greater of the tariff rate or the operation and maintenance costs, rather than the greater of the actual usage or the minimum operational and maintenance costs up to $13,415.  No admission of liability was made in connection with this settlement agreement. The investigation is being conducted by the OIG’s Fraud Detection Office.

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