Chris McCabe at Papubliccontracts.com has a post up about a two City of Philadelphia contractors, who reached settlement agreements with the City of Philadelphia related to alleged inaccurate invoices.
Essentially, the City of Philadelphia claimed that Aramark, a food services contractor, overstated the percentage of its overall contract being performed by a certified MBE. Aramark claimed the MBE was performing 20% of the work, when actually the MBE was performing only about 4%. Pursuant to the settlement agreement, the contractors agreed to pay the City $400,000.
These settling contractors should not breath a sigh of relief just yet however. As I have mentioned before, any alleged inaccurate billing put a contractor and potentially the individual partaking in the inaccurate billing at risk for Federal prosecution for wire fraud, mail fraud, and fraud of a local government entity.