Louisiana Shipyard Forced to Pay $1 Million Fine for Fraudulent Billing to U.S. Coast Guard
A Louisiana shipyard will pay over $1 million to settle accusations of billing the U.S. Coast Guard for work done by unauthorized workers. đ #News #LockportLA #Louisiana #Crime
LOCKPORT, LA – A Louisiana-based shipyard has agreed to pay over $1 million to settle accusations that it billed the U.S. Coast Guard for labor performed by workers not authorized to work in the United States. The U.S. Department of Justice announced the settlement on Wednesday.
Allegations Against Bollinger Shipyard
Bollinger Shipyard LLC, located in Lockport, Louisiana, manufactures ships for the U.S. government, including the Coast Guard’s Fast Response Cutter (FRC). From 2015 to 2020, the U.S. claimed that the company knowingly submitted false bills to the Coast Guard for work done by ineligible employees under the FRC contracts.
According to the allegations, Bollinger failed to ensure that its workers were legally authorized to work in the U.S. as required by their government contract. The company also allegedly invoiced the Coast Guard for the work of these ineligible employees and received payment.
Response from U.S. Officials
U.S. Attorney Duane A. Evans for the Eastern District of Louisiana emphasized the importance of honesty in government contracts. âCompanies that conduct business with the United States are required to do so in a legitimate manner,â Evans said in a statement.
âThe favorable resolution of these False Claims Act allegations illustrates the collaboration and commitment by our federal partners to use all available remedies to address signs of fraud, waste and abuse.â
Settlement Details
Bollinger Shipyard has agreed to pay $1,025,000 to settle the claims.
The Coast Guard Investigative Service (CGIS) also commented on the case. âCGIS is committed to continually working with all our law enforcement partners to protect and secure taxpayer funds and aggressively act to fully investigate allegations of false claims involving the Coast Guard,â said Assistant Director William Hicks.
Inspector General Joseph V. Cuffari of the Department of Homeland Security (DHS) added, âTodayâs settlement sends a clear message that contractors providing services to DHS programs will be held accountable for breaking the law. DHSâ Office of Inspector General and our law enforcement partners will continue to prioritize protecting our national security from these kinds of schemes.â
RELATED TOPICS: Crime | Louisiana
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