KBR to pay $8mn to settle overcharging claims

11/30/06 - newratings.com

NEW YORK, November 30 (newratings.com) – Pentagon contractor KBR (KBR) has agreed to pay $8 million to settle allegations of overcharging the US Army and other contract irregularities regarding the military operations in the Balkans during 1999 and 2000, the Justice Department said on Wednesday.

The settlement resolves the allegations under the False Claims Act, regarding the purchase orders awarded by Halliburton’s subsidiary, KBR, to ten different foreign subcontractors in 1999 and 2000. The company was accused of double billing and delivering non-conforming products for use in the construction of Camp Bondsteel in Kosovo. The company said in a written statement, "The government closed its investigations without making allegations of fraud or filing a complaint."