UPS to pay $4.2m to settle false claims allegations

UPS to pay $4.2m to settle false claims allegations

UPS has agreed to pay $4.2m to 14 US states, the District of Columbia, New York City and Chicago to resolve allegations that it routinely falsified delivery records regarding state and city government packages. Earlier this year, UPS settled similar allegations with the federal government for $25m and the state of New Jersey for $740,000.

The case was brought by former UPS employee Robert Fulk, who was represented by the Washington DC-based legal firm Wu, Grohovsky & Whipple (WGW).

In a statement issued yesterday (20 October), WGW commented: “The Qui Tam case brought by Mr. Fulk and WGW alleged that UPS fraudulently obtained payment for delivery services not actually performed through a variety of actions, including entering false delivery times into its tracking system to make it appear that packages were delivered on time to government customers, when they were not.

“UPS also misrepresented to its government customers that fake or erroneous reasons caused delays in service, including false reports that government customers had requested later deliveries when they had not.  These fraudulent actions allowed UPS to avoid paying millions of dollars in service refunds for late deliveries to federal and state governments.”

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