FOR IMMEDIATE RELEASE
JANUARY 12, 1999
(202) (202) 616-2777
TDD (202) 514-1888
CASE CORPORATION PAYS $1.9 MILLION TOSETTLE ALLEGATIONS OF OVERBILLING GOVERNMENT CUSTOMERS
WASHINGTON, D.C. - - Case Corporation, a government contractor, will pay the government $1.9 million to settle claims that it overcharged the General Services Administration for road building equipment by not offering GSA the same discounts it provided to other customers.
Assistant Attorney General Frank Hunger of the Civil Division said the settlement
resolves allegations that the Racine, Wisconsin corporation failed to provide accurate pricing information to GSA contract negotiators for road building equipment. It also resolved allegations that the company overbilled certain government customers, in connection with a 5-year contract that commenced in 1990.
Case Corporation was required by law to fully and accurately disclose its pricing practices
to the government and to provide all discounts to government customers that it would provide other customers. The overcharges were uncovered by the GSA Office of Inspector General during an audit of the Case Corporation contract. The $1.9 million will be paid to the U.S. Treasury.