Dulles Metrorail Project Subcontractor and Company President Settle Civil Fraud Suit
ALEXANDRIA, Va. – Universal Concrete Products Corporation (UCP) and its President and co-owner, Donald Faust, Jr., have agreed to pay $1 million to settle civil allegations that UCP falsified test records for concrete panels for the extension of the Silver Line, also known as Phase II of the Dulles Metrorail Project.
The allegations stem from UCP’s work as one of the subcontractors supplying precast concrete to the Dulles Metrorail Project, which is partially funded by loans from the U.S. Department of Transportation and the Commonwealth of Virginia. The government’s amended consolidated civil complaint in intervention alleges that from approximately October 2015 through June 2016, then-UCP Quality Control Manager, Andrew Nolan, and UCP quality control employees under his supervision, falsified test records to make it appear as though air content for the concrete was within the required range of air content. Nolan allegedly falsified test records knowing that the general contractor for the Dulles Metrorail Project would reject the concrete had it known that the concrete fell below the required air content for the project. The Metropolitan Washington Airports Authority (MWAA) is overseeing Phase II of the Dulles Metrorail Project and is addressing any remediation necessary as a result of the alleged conduct separately from the resolution reached by the government in this settlement.
The government’s civil lawsuit claims are based on a whistleblower suit initially filed in 2016 by a former UCP quality control employee. The suit was filed in the federal district court for the Eastern District of Virginia, under the qui tam provisions of the False Claims Act and the Virginia Fraud Against Taxpayers Act, which allow private persons to file suit on behalf of the government. Under the statutes, the government has a period of time to investigate the allegations and decide whether to intervene in the action or to decline intervention and allow the whistleblower, also called the relator, to go forward alone. The government intervened in the relator’s suit in May 2018. The False Claims Act and Virginia Fraud Against Taxpayers Act also provides the whistleblower a share of the government’s recovery.
In August 2018, Nolan pleaded guilty to conspiracy to commit wire fraud. Related court documents and information from the criminal action is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:18-cr-292.
The resolutions obtained in this matter were the result of a coordinated effort between the U.S. Attorney’s Office for the Eastern District of Virginia, the Virginia Attorney General’s Office, the FBI, and the U.S. Department of Transportation’s Office of Inspector General. The matter was investigated by Assistant U.S. Attorney Christine Roushdy, Special Assistant U.S. Attorney Ronald Fiorillo, and Assistant Attorneys General Peter Broadbent and Nancy Auth.
The civil claims settled by this agreement are allegations only; there has been no determination of civil liability.
A copy of this press release may be found on the website of the U.S. Attorney’s Office for the Eastern District of Virginia.