Inchcape Shipping Services Holdings agreed to pay $20m to the US government to settle claims related to a whistleblower lawsuit brought against the marine services firm.
The subsidiary of the London-listed logistics giant is paying the settlement to resolve allegations of overbilling the US Navy for ship husbanding services, according to the US Department of Justice.
Inchcape provided US Navy ships with food, waste removal, telephone services, ship-to-shore transportation, force protection services and local transportation.
Between 2005 and 2014, "Inchcape knowingly overbilled the Navy for these services by submitting invoices that overstated the quantity of goods and services provided, billing at rates in excess of applicable contract rates, and double-billing for some goods and services," the Department of Justice said.
The issue was brought to the attention of the US through a whistleblower lawsuit brought by three former employees of Inchcape, Noah Rudolph, Andrea Ford and Lawrence Cosgriff.
Under the act, a private citizen may bring suit on behalf of the US for false claims and share in any recovery. The whistleblowers will receive approximately $4.4m.
