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Colorado Springs roofing company pays to settle False Claims Act allegations

March 26, 2012

DENVER – Central States Roofing, a Colorado Springs company and a government contractor, has paid the United States $110,000 in penalties to settle allegations that it violated the False Claims Act by providing the United States Air Force with warranties that were in fact forgeries.

Through a whistle-blower lawsuit filed under the False Claims Act, the United States was made aware of allegations that Central States Roofing, which performed roofing work at the Air Force Academy, submitted several warranties that turned out to be forgeries. In 2007, the company was awarded a government contract to install roofing systems on over a dozen buildings at the United States Air Force Academy. Under the contract, Central States Roofing was required to provide manufacturer warranties for the roofing systems in order to get the final payment. But the president of Central States Roofing, rather than obtaining valid manufacturer warranties, downloaded forms from the internet. He then forged warranties to look like real third-party warranties, and presented the forged warranties to the Air Force, leading the Air Force to release the final payments.

The investigation leading to the settlement was conducted by the Air Force Office of Special Investigations and the Defense Criminal Investigative Service.

The settlement agreement is neither an admission of liability by Central States Roofing, nor a concession by the United States that its claims are not well founded.


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