Whistleblower News: $7.1M False Claims Act Settlement, Vitol FCPA

Workrite Companies to Pay $7.1 Million to Settle Alleged Furniture Overcharges

DOJ

Ergonomic office furniture maker Workrite Ergonomics LLC, a Delaware company, and its parent, Knape & Vogt Manufacturing Co. (collectively, Workrite), have agreed to pay $7.1 million to resolve allegations under the False Claims Act that they overcharged the federal government for office furniture under General Services Administration (GSA) contracts, the Department of Justice announced today.

The allegations were originally made in a lawsuit filed under the whistleblower provisions of the False Claims Act by Michael J. Franchek, of Park City, Utah, a former Workrite sales manager.  The Act permits private parties to sue for false claims on behalf of the United States and to share in any recovery.  Franchek will receive approximately $1.27 million from the settlement proceeds. read more »

Vitol pays $135 million to resolve U.S. allegations of oil bribes in Latin America

REUTERS

Vitol Group’s U.S. subsidiary agreed to pay $135 million to resolve allegations by the U.S. government that the company paid bribes in Brazil and other countries to boost its oil trading business, a prosecutor told a U.S. judge in Brooklyn on Thursday.

Vitol’s U.S. subsidiary admitted to paying bribes from 2005-14 involving Petrobras. In exchange for the bribes, Vitol obtained information regarding what competitors were bidding for trading Petrobras oil. read more »